gainspainscapital.com / Graham Summers / February 14, 2017
Janet Yellen continues to demonstrate that she is either profoundly ignorant or dishonest. Neither of those are positive qualities for a Fed Chair.
Having maintained interest rates at essentially ZERO for seven years during the Obama years, Yellen suddenly believes it would be “unwise” to wait too long to raise rates now.
It’s a bizarre claim, particularly when you consider:
- The US economy is limping along at best and entering a recession at worse (2016 GDP growth was a measly 1.9% and a the latest spate of data has all suggested a contraction is underway).
- The Fed owns some $2.4 trillion Treasuries, which would be negatively impacted by the Fed raising rates.
- There are over $555 TRILLION in interest-rate based derivatives floating around… which similarly would be negatively impacted by raising rates.
Read more ... source: The Bitcoin Channel
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