Monday, January 18, 2016

Fed will cut rates again once they realize the economy is weakening

The global economy isn't really affected by a 25 basis point increase in interest rates. But I believe the Fed will point to that as the reason for the coming recession.

They basically view money printing as good and tightening as bad. The economy is slowing down meaningfully. When the Fed realizes the economy is in recession, they will cut again.