--and without leaving a trace they can control interest rates for the entire $57,981,800,000,000 American capital debt market? I mean, I can like wearing tin-foil as much as the next guy but I'm thinking we're really going off the deep end here....
They aren’t controlling rates, just influencing them when necessary. There is plenty of demand for American debt without the Fed, especially considering how terrible a lot of the rest of the world’s debt is. But in a vacuum, an American debtor overpaying for a poorly built house, carrying other debt, with poor long term career prospects, living in a country with massive unfunded liabilities, etc. just does not seem to match up with 3% interest. Call me old fashioned.