Why didn't the Feds raise interest rates, Is Greenspan still cloaking

[candy331]

for *. I assume since his SS is in jeopardy he needed wall street to rally big to cover the losses that are surely right around the corner. Damn, why am I still up at 11:30 pm, glutton for punishment I guess, watching that Rove tripe on PBS.

[punpirate]

1. The only thing keeping the economy stoked...

... right now is housing. Not raising interest rates keeps that bubble from bursting. Greenspin is doing his utmost to keep all the balls in the air, but it's not going to work in the long term. Six months ago, Greenspin was pushing for people to get into variable-rate mortgages as a way to keep the housing market stimulated (disregarding that he's kept interest rates artificially low and a whole lot of people will suffer when the interest rates finally catch up economic reality).

The stock market rally is more due to the influence of the Plunge Protection Team than the Fed's pronouncements on interest rates. Keep an eye on the stock charts and see what happens, often, at 2 pm on losing days....

Cheers.

[hector459]

2. He sure as hell raised them under Clinton and helped burst the bubble.

He did this at a time when people in the know were screaming that inflation was not an issue and there was no need to raise rates. Now with inflation getting ready to go out of sight thanks to oil prices, Greenspan won't touch the rates. This tells me how he controls the markets to benefit the Republicans. He could not conceal his anger about the bubble under Clinton and the fact that many of the "unwashed" public made a little money in the stock market.

[Selteri]

3. Greenspan loves to do the opposite of what is actually good for

the economy, when the markets are high he raises interest rates until they choke the life out of people then when the economy needs the interest rates to keep the dollar stable he keeps them low.


What a maroon.