suntory Posted December 16, 2015 Share Posted December 16, 2015 After interest rates were raised by 0.25% on the 16th of December 2015, what is the Fed going to do next? Quote Link to comment Share on other sites More sharing options...
Fully Detached Posted December 16, 2015 Share Posted December 16, 2015 I went for option 3 but expect 4 & 5 to follow over time. Quote Link to comment Share on other sites More sharing options...
Wurzel Of Highbridge Posted December 16, 2015 Share Posted December 16, 2015 They only raised them to keep some credibility and wriggle room in case cuts are needed when the junk bond market finished imploding in 6 months time. The only group that should be worried are the UK government and it's financial recipients. Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted December 16, 2015 Share Posted December 16, 2015 wonder what Europe will do. oh la la this could get very tasty Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted December 16, 2015 Share Posted December 16, 2015 actually I know what I am going to do. champagne tonight. my wife hopes the fed will raise rates next week if I'm this happy again, and I will be. Quote Link to comment Share on other sites More sharing options...
billybong Posted December 16, 2015 Share Posted December 16, 2015 (edited) Bear in mind that the effect of a base rate rise normally only starts to show through in the economy's statistics some months after it's announced. So the next moves could be gradually increasing interest rates until the point that the effect of the first rise shows through and then they might have to suddenly back track. On that basis it would be one - followed in a few months by three. They could have nearly 0.75% wriggle room to reduce the rate by the time they decide to back track. None of it will work as they haven't the faintest clue what they're doing - apart from lining their own pockets. Edited December 16, 2015 by billybong Quote Link to comment Share on other sites More sharing options...
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