Why does the Fed even bother to change rates? Rising prices and shortages slow down economic growth. Why screw around with something that is not broken?
.25 now and another .25 next time, then a break, "following a period of protracted movement in the equity markets, and sustained growth blah , blah, blah". TIP: be sure to have your thesaurus handy if ol' Greenspan is doing any talking. . .
this would have been more possible if oil had held still above $70 a barrel going into this meeting --- and this would also be very difficult of a move for the Fed prior to the Christmas period, as they would be labeled all over the media as the "economic scrooge" before Christmas. plus the 1/2 point raise in March of 2000 still keeps Greenie up some nights!
The fed will keep raising rates until they get a recession. That's the way it has always been done...
Yep. The yield curve is as flat as Lara Flynn Boyle and getting flatter. After today's rate hike and then another in January we will probably have an inverted yield curve.