I don't think so but they are telling you they have confidence. Do you believe them? I wonder if market will soon tell Janet who is the real boss here.
Are we at the stage where fed rate hikes are warranted?
Started by
risk_management
, Dec 17 2015 10:50 AM
2 replies to this topic
#2
kinga200
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- TT Member+
- 594 posts
Member
Posted 17 December 2015 - 11:05 AM
I don't think so but they are telling you they have confidence. Do you believe them? I wonder if market will soon tell Janet who is the real boss here.
I have believed if they do raise rates it will be minuscule like it was at 1/4 and ONLY to show they have control which I think they don’t.
But the market is the boss, always has been.
#3
pdx5
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- Traders-Talk User
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I want return OF my money more than return ON my money
Posted 17 December 2015 - 12:40 PM
As usual, FED is about a year too late.
Rates should have increased a year ago, when economy was in a better uptrend.
If one adds up all the yield money lost in Bonds, is it any surprise retail is hurting?
and velocity of money is horrible? Keep in mind Bond market is bigger than stock market!
This ZIRP and QExxx have been a huge failure, considering how much money was printed.
Economy works best with least interference from the government.
Interest rates should reflect cost of borrowing money, and that cost is definitely not zero.
All the FED has accomplished by artificially keeping rates low are more bubbles...
Stocks, high end Real-Estate, borrowing by corporations for stock buy-backs are in record
territory. When bubbles are pricked, pain is greater than allowing a normal mild recession
to take place and clean out the dead wood in the economy.
Edited by pdx5, 17 December 2015 - 12:44 PM.
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