Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Fed raises rates for the second time in a decade
cnbc ^ | 12/14 | cox

Posted on 12/14/2016 11:32:55 AM PST by RummyChick

Federal Reserve officials, amid signs that the U.S. economy soon could shed its long period of stagnation, approved the first interest rate hike in a year Wednesday and said it foresees three more increases next year.

The stock market reacted calmly, while the dollar and bond yields rose.

(Excerpt) Read more at cnbc.com ...


TOPICS: Breaking News; News/Current Events
KEYWORDS: bho44; bhoeconomy; fed; federalreserve; fedrate; fomc; trumptransition
Navigation: use the links below to view more comments.
first previous 1-2021-4041-6061-80 ... 161-173 next last
To: RummyChick

I’m okay with the hike. Been a long time coming.


41 posted on 12/14/2016 12:22:51 PM PST by guido911 (all)
[ Post Reply | Private Reply | To 1 | View Replies]

To: kaehurowing
When you have the printing presses running at full speed for 8 years, you don’t want interest running on all that debt you’re running up—until you lose the election and you want to screw the next guy coming in.

/echo

42 posted on 12/14/2016 12:23:21 PM PST by VRW Conspirator (Enforce the Law. Build the Wall.)
[ Post Reply | Private Reply | To 10 | View Replies]

To: mlo

It’s actually a good thing. Rates have been held low too long. There are negative consequences from that too.


I actually agree with that. However, I see the reason for keeping rates low is that the economy is not as strong as they say it is and a rate increase will damage it. And I agree about those negative consequences.

We should have had a lot more price inflation, but the only thing that actually inflated was the stock market. And now, with a very weak economy, interest rates are increased. At a time, I might add, where there is a lot of credit already out there. I saw low rates coupled with QE as kicking the can (total economic collapse) down the road. I see any significant rate increase as flirting with finding the end of the road.

Oh, and I refinanced my home and property two months ago in anticipation of this. So yeah, I kinda saw it coming myself. It’s because it was a foregone conclusion that Trump would win and I figured the political organization would try to spite him. That may not be the reason they did this, but I think it is a major part of it.


43 posted on 12/14/2016 12:24:16 PM PST by Mr. Douglas (Today is your life. What are you going to do with it?)
[ Post Reply | Private Reply | To 39 | View Replies]

To: ealgeone

The real reason the Fed kept rates at zero is the gigantic federal deficits 0bama has been running annually, and the doubling of the debt under his watch. The Treasury can’t afford to finance the debt unless the money is free.

They are deliberately tossing a fiscal grenade in Trump’s lap as 0bama scoots out the door.


44 posted on 12/14/2016 12:24:40 PM PST by henkster
[ Post Reply | Private Reply | To 4 | View Replies]

To: RummyChick

Trump wanted this. No more free money. Glad it’s finally starting.


45 posted on 12/14/2016 12:28:30 PM PST by Theoria (I should never have surrendered. I should have fought until I was the last man alive)
[ Post Reply | Private Reply | To 1 | View Replies]

To: RummyChick

This has the potential to get really ugly pretty quick.


46 posted on 12/14/2016 12:29:09 PM PST by Read Write Repeat
[ Post Reply | Private Reply | To 1 | View Replies]

To: rdcbn
Yellen is an Obama partisan and her days are numbered.

Yes she has a little over two years to go.

47 posted on 12/14/2016 12:32:27 PM PST by DoodleDawg
[ Post Reply | Private Reply | To 12 | View Replies]

To: xzins
Maybe they’re trying to tank the economy right as Trump takes over.

Yellen is one vote out of ten. By all accounts she has favored raising interest rates for some months now.

48 posted on 12/14/2016 12:33:31 PM PST by DoodleDawg
[ Post Reply | Private Reply | To 15 | View Replies]

To: DoughtyOne
Even the markets are on the Trump Train.

Dow zooms over 1200 points since Trump victory

CNNMoney-Dec 7, 2016
Before the election, prominent stock pickers warned the Dow would ... the index up over 1,200 points in the four weeks since Trump's shocking ...
 
Does anyone think this would have occured if the She-beast had won?

 

49 posted on 12/14/2016 12:34:32 PM PST by Responsibility2nd
[ Post Reply | Private Reply | To 20 | View Replies]

To: Mr. Douglas

“the economy is not as strong as they say it is and a rate increase will damage “

A primary reason the economy is not strong is that the rates are artificially kept low. Who the heck wants to invest in a zero return market??

Definition of insanity is doing the same thing over and over again (keeping rates low) and expecting different results (economy getting better).


50 posted on 12/14/2016 12:36:10 PM PST by CodeToad (If it weren't for physics and law enforcement, I'd be unstoppable!)
[ Post Reply | Private Reply | To 43 | View Replies]

To: DoodleDawg

A little over one year to go...


51 posted on 12/14/2016 12:36:40 PM PST by Voluntaryist
[ Post Reply | Private Reply | To 47 | View Replies]

To: RummyChick
the market didn’t react calmly despite what CNBC says..it was up and down like a yoyo..trying to make up it’s mind. Now down. Gold getting hit, too

LOL. Interesting how some people view these things. The market is at an all high high after day after day of increases and is down less than 1%. So yes ... the market reacted calmly to the news because the market had been expecting the increase for months. Just another day for this long term investor.

52 posted on 12/14/2016 12:38:15 PM PST by plain talk
[ Post Reply | Private Reply | To 2 | View Replies]

To: Responsibility2nd

I don’t see why it would have.

They had the same policy goals, and were both on the same lo-estrogen managed 28 day cycle. How would that spell change or improvement? /s

Smirk


53 posted on 12/14/2016 12:40:27 PM PST by DoughtyOne (jcon40, "Are we be coming into the age of Sanity?")
[ Post Reply | Private Reply | To 49 | View Replies]

To: plain talk

It’s down less than 50 points on the news. The market doesn’t over-react...but the hysterical news media always does.


54 posted on 12/14/2016 12:41:34 PM PST by Scott from the Left Coast ("Now it's up to the American people to deliver justice")
[ Post Reply | Private Reply | To 52 | View Replies]

To: RummyChick

The inevitable reckoning of the debt and zero interest rates was just a question of timing. If Hillary won, rates would stay near zero her entire term. BUT, since Trump won, may as well dump it on his lap. It will be painful for a while. But if he truly passes pro growth pro private enterprise reforms and policies we’ll be sitting pretty in a couple years.


55 posted on 12/14/2016 12:47:10 PM PST by Organic Panic (Rich White Man Evicts Poor Black Family From Public Housing - MSNBCPBSCNNNYTABC)
[ Post Reply | Private Reply | To 1 | View Replies]

To: RummyChick

I fully expect the MSM to take interest in the “plight of the homeless” soon.


56 posted on 12/14/2016 12:52:06 PM PST by central_va (I won't be reconstructed and I do not give a damn.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: RummyChick
oil getting clobbered but it was already down some before the announcement. Now down about 2

Don't you think the range for oil prices over the next year will be between $40-$60 a barrel? It's about $50 now, isn't it?

57 posted on 12/14/2016 12:52:37 PM PST by Night Hides Not (Remember the Alamo! Remember Goliad! Remember Gonzales! Come and Take It!)
[ Post Reply | Private Reply | To 7 | View Replies]

To: Mr. Douglas

With 90 million not working, open borders and our industrial base gutted there is not much a chance of wage induced inflation. If anything higher interest rates may dampen consumer spending and push prices lower.


58 posted on 12/14/2016 12:55:24 PM PST by central_va (I won't be reconstructed and I do not give a damn.)
[ Post Reply | Private Reply | To 24 | View Replies]

To: Scott from the Left Coast

that little 50 points you are talking about made me a huge amount of money on the futures swing..and I only played it one way. the gyrations have been huge. So no, it has not been a calm reaction in the futures market.

Oil futures stabilized. Emini and gold have not stabilized.


59 posted on 12/14/2016 12:58:50 PM PST by RummyChick (Trump Train Hobo TM Rummychick. Example - Ryan Romney Kasich. Quit trying to Jump on the Train)
[ Post Reply | Private Reply | To 54 | View Replies]

To: dhs12345

“Wonder if they were holding rates low to make Obama look good? “

This was kind of like keeping the choke wide open to keep an engine running as your fuel is garbage. Now we have some good fuel and it’s time to shut the choke a bit so the engine does not rev to wide open throttle.


60 posted on 12/14/2016 1:02:18 PM PST by tired&retired (Blessings)
[ Post Reply | Private Reply | To 8 | View Replies]


Navigation: use the links below to view more comments.
first previous 1-2021-4041-6061-80 ... 161-173 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson