It seems the "average American" likes to suffer...at least some ET members...appropriate FED FUNDS while economy is expanding at 3,8 % GDP rate is about 5,75 - 6,0 %...gonna call BEN and ask him about some off-balance sheet structured high yield "FED FUND CDO" rates...maybe with the little help by our structured product MASTER IB´s as there are MER, BSC, MS, JPM, WB...
Actually, with interest rates going up to 10%, the banks would be able to clear off the excesses that were produced by haphazard lending and finally respect credit risk, instead of treating it as something that adds to yield with risk that can be handed off to the "next" guy. So they would be getting rid of overpriced bad debt not accumulating it. Jobs never coming back? I bet they said the same thing in recessions in 1990-1, 2001, etc. Recessions are part of the business cycle. That's why they call it a cycle, not a business ramp with only booms and no busts.
if you have made money during the year, he is a genius. if you have loss money during the year, he is a jackass.
That's not the issue. The Government and Fed are debasing the $USD. Eventually, when the Dollar has declined enough, it means BANKRUPTCY for nearly all Americans.... REGARDLESS OF HOW MANY $MILLIONS YOU'VE ACCUMULATED... YOU WON'T BE ABLE TO BUY HARDLY ANYTHING WITH IT. IT WILL BE LIKE HAVING EXCHANGED YOUR "MONEY" FOR "MONOPOLY MONEY". That's the issue, and our "leaders" should not be doing this to us.
If you are holding dollars or have to hold dollars because of your holdings, you should think he's a jackass. He's a genius only if you think he's gonna save the economy and housing with interest rate cuts.
try to think in terms of foreign debt in US dollars. ... think about the Chinese holding of US dollars... ;-) every time there is a crisis, there is opportunity. which side of the crisis you are on? the decision is yours. p.s. do you honestly think US$ will go down forever ???
Easier said than done. He, and those around him, know first what the fed will do next, and we do not. Is it smart to trade against the insiders?
Historically, when governments have gotten themselves into trouble and have resorted to "print money" to buy time.... the result has ALWAYS BEEN THE SAME... the currency goes to "near zero" before a revaluation. There are HUNDREDS of historical examples. America isn't sliding as fast as Turkey recently, nor Rwanda... but we're on the same path. The Baby Boom generation will likely see the $USD fall to 25 or 10 or even lower during their lifetimes. The generations after will see it even worse. So, if you lose 75% of your buying power... or 90%...or 98%, what kind of pressure is that upon you to "keep up" your buying power and net worth? (Don't forget, TAXES all along the way to reduce your poke even further.) The $USD may not go to zero in my lifetime, but it will come close enough to cause severe financial stress. And my own "elected leaders" will have done it to me... and everybody else. Can't be sanguine about any of this...
This isn't about the "Average American"!! What happened to the Republican conservatism and individuality everyone voted for? Fending for yourself?!! There is raw meat on the floor and you better start behaving like jackals and tear and rend your piece! You want to be coddled by liberal socialists when you should be answering your true nature and thanking the Fed!