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Strategies & Market Trends : Waiting for the big Kahuna

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To: GROUND ZERO™ who wrote (43077)8/18/1999 10:28:00 AM
From: Haim R. Branisteanu  Read Replies (2) of 94695
 
GZ, even that local inflation in the US is around 3.5% and 5% in NYC that is not the reason AG is rising interest rates, as the spread is positive (e.g. fed Funds are above the real inflation) his main reason is to defend the dollar which strength will keep inflation relatively low and also to have ammunition to save the stock market.

He has done so successfully in 1987 and several times thereafter as recent as last October.

There for I agree with you that AG interest rates hike are not related to the reported inflation.

BWDIK
Haim
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