25 June 2008

My Prediction on Fed Rate Setting

Even if inflation were not an issue, and it is, they would not cut rates, because they have already cut them so far that the market is no longer effected by this.

The economic news lately has been awful, so they won't raise rates.

Thus, they will do nothing, though my guess is that their statement will be more hawkish on inflation.

We will know in about 14 hours.

0 comments :

Post a Comment