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Will Grandma Raise Rates Today?
Posted: Wed Jul 29, 2015 7:46 am
by planosteve
My opinion is no. Not now. Not later. Not ever. My prediction stands.
Re: Will Grandma Raise Rates Today?
Posted: Wed Jul 29, 2015 8:45 am
by GFB
Not now..but soon.
Rates have to normalize at some point.
Re: Will Grandma Raise Rates Today?
Posted: Wed Jul 29, 2015 9:25 am
by planosteve
GFB wrote:Not now..but soon.
Rates have to normalize at some point.
Not until after the crash.
Re: Will Grandma Raise Rates Today?
Posted: Wed Jul 29, 2015 9:37 am
by GFB
planosteve wrote:GFB wrote:Not now..but soon.
Rates have to normalize at some point.
Not until after the crash.
The crash?
The Fed will raise rates in a growing economy..not one that's crashing.
Re: Will Grandma Raise Rates Today?
Posted: Wed Jul 29, 2015 9:38 am
by GFB
Interest rate hikes tend to slow economic growth, not stimulate it.
Re: Will Grandma Raise Rates Today?
Posted: Wed Jul 29, 2015 9:41 am
by planosteve
GFB wrote:Interest rate hikes tend to slow economic growth, not stimulate it.
In a free market the interest rate is determined by supply and demand like the price of everything else. Once you introduce fiat money, the whole idea of a free market goes out the window. When the economy crashes, the dollar will be worthless, the FED will be abolished in disgrace, and silver and gold will become legal tender as the constitution specifies. Then interest rates, the price of money, will finally normalize.
Re: Will Grandma Raise Rates Today?
Posted: Wed Jul 29, 2015 9:49 am
by GFB
First you try to determine when the Fed will raise rates..fail at that...then go into the usual doomsday rant.
Re: Will Grandma Raise Rates Today?
Posted: Wed Jul 29, 2015 9:52 am
by planosteve
GFB wrote:First you try to determine when the Fed will raise rates..fail at that...then go into the usual doomsday rant.
Where did you get that? I have said for a long time now that they were not going to raise them. But, if I'm wrong and they do, it will be a teenie tiny increase and will be quickly reversed.
Re: Will Grandma Raise Rates Today?
Posted: Wed Jul 29, 2015 10:05 am
by GFB
planosteve wrote:GFB wrote:First you try to determine when the Fed will raise rates..fail at that...then go into the usual doomsday rant.
Where did you get that? I have said for a long time now that they were not going to raise them. But, if I'm wrong and they do, it will be a teenie tiny increase and will be quickly reversed.
You just predicted..after the "crash."
...whatever that means.
Re: Will Grandma Raise Rates Today?
Posted: Wed Jul 29, 2015 10:11 am
by planosteve
GFB wrote:planosteve wrote:GFB wrote:First you try to determine when the Fed will raise rates..fail at that...then go into the usual doomsday rant.
Where did you get that? I have said for a long time now that they were not going to raise them. But, if I'm wrong and they do, it will be a teenie tiny increase and will be quickly reversed.
You just predicted..after the "crash."
...whatever that means.
No, what I said is after the crash the FED will be abolished and that interest rates will be determined like the price of everything else. Supply and demand in the market.
Re: Will Grandma Raise Rates Today?
Posted: Wed Jul 29, 2015 11:08 am
by GFB
GFB wrote:
Not now..but soon.
Rates have to normalize at some point.
Planosteve:
Not until after the crash.
Re: Will Grandma Raise Rates Today?
Posted: Wed Jul 29, 2015 11:11 am
by GFB
Perhaps you don't know what "normalize rates" means.
It means return to it's historical norm..in the range of 4% - 5%.
Re: Will Grandma Raise Rates Today?
Posted: Wed Jul 29, 2015 11:39 am
by planosteve
GFB wrote:Perhaps you don't know what "normalize rates" means.
It means return to it's historical norm..in the range of 4% - 5%.
I don't think there is such a thing as a normal interest rate more than a normal price of anything else.
What is the normal price of oil or the normal price of oranges or anything else? It depends a lot of factors, and it's basicly meaningless.