Posted on 03/15/2017 2:57:09 PM PDT by HomerBohn
Not only is the American economy on life support and has been for many years now, but the world's economy is in much worse shape. The Fed is the culprit here. When all should be economically sound, this group of eggheads will throw a wrench into the cogwheel of progress.
All Soros and his colleagues have to do is pull the switch and voilà , it will happen. The global elites will not be defeated. They are not going to give up the fight, especially since Trump, his staff and a large swath of Americans are pushing back against their evil deeds.
Small increases in the federal funds rate will not tank the economy. The expected stimulus will vastly overreach this monetary policy.
Too easy to foresee. Let’s hope Trump has already put great minds on this, because a recession may be the only correction available for the false Obama bubble.
The problem is serviciing the $20 Trillion National Debt.
THIS too will Backfire , big time !
“And according to CNBC, a coming stock market correction could be just around the corner”
One of the first problems here is they are quoting C-NBC...nothing but crap. It’s propaganda.
That should have been anticipated by issuing 30 yr bonds.
Really don’t believe the Federal Reserve has the type of power described. Interest rates were low following the economic catastrophe of the Iraq and Afghan wars compounded by the anti capitalist regulations and policies of the Obama administration because the economy was quite dormant. There was little demand for capital since there was little real economic growth . The demand for capital was low ( hence low interest rates) as was the demand for industrial commodities such as copper, aluminum, steel and oil. If Trump follows through with the rescinding of Obama’s anti capitalist regulations and taxes, lowers the Federal budget deficit and ends the war on carbon energy sources, the economy will grow. There will be a demand for capital, so interest rates will rise despite the agonizing meetings and musings of the Federal Reserve. The economy will expand and Trump will benefit politically.
Try can try
Not really. The FED is trying to restore sanity one quarter point at a time. Crony capitalism had to be cut back eventually.
If the $600 Trillion Derivative bomb goes off, then Katy bar the door.
Mark Faber (aka Dr. Doom) predicts it could be as much as an 80% crash, as that is how overvalued he sees this market.
But what do I know?
Not much, but the more I read, the parallels between today and 1929 are poignant and striking.
This increase will probably causes businesses to make purchases of the large variety as they see the cost of money is going up and its time make the outlays. This will cause growth in manufacturing as well as most other sectors offsetting the conventional wisdom negatives of increasing the rates.
I remember, right after the end of WWII, the general thinking was that the U.S. would slide back into a ‘30s-type Depression.
What they failed to realize was that people had TONS of money socked away because they couldn’t buy many consumer goods. Once the War ended and consumer production began, the economy took off.
I’m thinking somewhat along those lines now, despite the debt burden. Corporations sat on their money because of obama’s anti-business policies, and now that the White House is fumigated, that money will be put to work.
Zero Hedge had an article within the past week that in October (when Hillary was supposed to win) and the projected 4th Q GNP was pretty good that they were going to keep rates low in 2017. Since then, forecasted 4th Q growth rates declined (which means you don’t raise rates) and Trump won.
We should audit the Fed. It is part of the swamp.
A Trump E.O. would create other currencies, such as,
U.S. Note, Texas Dollar, North Dakota Dollar,
JFK Red Seal dollar.
This is a simple solution to the fed reserve.
Not an economist, nor did I sleep in a Holiday Inn Express last night but how does consumer confidence and general market optimism factor in? Everyone I talk to recently are now bullish on America and optimistic that Trump could be “the guy” to pull it all together. Some are talking fresh mom and pop start-ups if Trump can make deregulation happen, even if the capital costs them more when they decide to jump in than it might today.
There is ALWAYS the possibility of anything...........
People get rich over words such as "Possible", "Maybe", "Potential", "Could"..........
Wish I could figure out how to cash in on that crap........
DERP!
Let’s not forget, the carbon tax and other BS regulations led to many household energy bills to go up 50% or much more. Get this back to pre-0bama destructive days and that is a nice small bump in spending income for every household in America.
Add in cheaper energy alternatives like coal and natural gas and everyone’s household energy bills could even be cheaper prior to Destruct-0bama. Take this times millions of homes across the US and that is a nice little bump for our economy.
CGato
The Fed will raise rates to crater the economy and the RINOs in congress will help by refusing to give Trump the antidote in the form of the tax cuts he wants.
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