Reply #10: I think people are starting to sense [View All]

[oecher3]

a change in momentum, ribofunk, you are right. The hike was needed, but the more interest will rise, you will get people to start connecting this to stagflation, or fear of mortgage interest rates rising, too and forcing that bubble to pop.
This increase so openly announced ahead of time was already absorbed in the stock prices, the .5% threat sounds more like it.
We have not yet seen enough economic recovery, at least not on the unemployment side and they raise interest rates more and more. It will force out the investement and makes further droping of unemployment (or hiring more people) unlikely!

And everybody, quit thinking of Greenspan as this independent Saint, ribofunk, you pointed out quite right how political this Trojan horse has become. He is an old republican that was first appointed by a republican and only kept by Clinton!