Spoiler Alert: The simple answer is that of course they can in the event of runaway inflation and/or an overheated economy, but in light of $26 trillion in federal debt that will soon rise by at least $1 trillion through additional stimulus (not to mention budget deficits for the foreseeable future), the question is whether […]
Come the December Fed meeting and after the strong jobs report that was recently released, does the Fed have any choice but to raise rates? The betting in the futures market leans to the side of a Fed tightening, or raising, of rates. But some of the actual economic evidence may seem to indicate that […]
Will the Fed announce that it is raising rates a quarter point at the FOMC meeting that ends on September 17th, or will it stand pat? Inquiring minds want to know, particularly in some of the interest rate and economically sensitive sectors such as investments, banking, real estate and mortgages. But, as I conjectured in an […]
Confused? The Fed raising interest rates in order to be able to cut them at some point in the future is the rationale I am hearing on the business news! The reason is that if (when) the United States economy heads into another recession, the Fed will have ammunition available to be able to take proactive […]
