Rick Santelli, an editor and experienced yeller at CNBC, went ballistic in classic Santelli fashion during a CNBC panel discussion on Monday morning.
The panel was broadly discussing Federal Reserve’s role in stabilizing and promoting American economic growth. Santelli believes that the Fed is behind the curve and is waiting far too long to raise interest rates. He also believes that inflation is set to cripple the U.S. economy and individuals should sell equities.
“We’re not in a crisis, and Janet Yellen and Ben Bernanke are still treating the economy as if it’s in crisis,” he said. Santelli interrupted and spoke over almost every panelist, screaming that the Fed is no longer in touch with its purpose.
“It was supposed to be a nudger…here’s what a Fed Chairman needs to stand up and do: ‘Congress, we’ve done the most we can do, we’ve nudged the market, it’s now your job!.’”
Steve Liesman, senior economics reporter for CNBC, countered almost all of Santelli’s points. He said that stock P/E ratios are ““not particularly out of line,” dismissing the notions that Yellen isn’t doing her job and equities are being unsustainably propelled higher by synthetic Federal Reserve actions.
Liesman soon grew tired of Santelli’s constant interruptions, ripping his questionable history of predictions over the last five years.
“It’s impossible to you have been about more wrong, Rick. Your call for inflation, the destruction of the dollar, the failure of the U.S. economy to rebound. Every single bit of advice you gave would have lost people money. The higher interest rates never came. The inability of the U.S. to sell bonds never happened. The dollar never crashed Rick, there’s not a single one to work for you.”
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