How did the Fed stir up the emotions of retail investors?

1. First, they teased you that they would cut interest rates. According to the trend of inflation in the second half of last year, they would have cut interest rates in the first half of the year. The expectation was reversed. Then, when the data for the first quarter came out, they found that the data was not good, and they said that they would delay the cut, or even not cut interest rates. Now they have directly revised down the PPI data, and the capital market expects that the CPI will also be revised down. The US stock market has reached ATH again. Last year, the price of coffee rose by 80%. Now coffee is no longer included in the statistical component of inflation...

2. The Fed has been kidnapped by the US government. They really want to cut interest rates and have been sending positive signals to the market. For the US election, they wrote 12% inflation as 3.4%. Is this what you really feel about your friends in the Bay Area? After communicating with my friends, their perceived inflation is between 12% and 20%, especially insurance (auto insurance and medical insurance) has risen very fast. Many large insurance companies have launched the California market, and there are too many looting and smashing. There will be wildfires in the second half of the year, and hurricanes in Florida. They all feel that insurance premiums will become more and more expensive in the future.

Now credit card defaults are rising, and there are not many tenants in commercial real estate. The only good thing is that the supply chain has improved a lot, and commodity inflation has indeed come down. But these are small businesses. They have no power to raise prices, while insurance companies with big capital are still making money. Isn't this a wealth transfer?