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Politics : Idea Of The Day -- Ignore unavailable to you. Want to Upgrade?


To: Shtirlitz who wrote (31710)6/5/2000 7:23:00 AM
From: GROUND ZERO™  Read Replies (2) | Respond to of 50167
 
I think that the Feds' reluctance to raise rates late last year in front of all the talk about the so called 'Y2K liquidity crunch' (which never happened) may actually be causing the inflationary worries of today, a self fulfilling prophesy... in fact, at that time, they were actually adding liquidity into the system to avoid ' the crunch'... now, they've raised by 1/2 point and that won't work its way into the system for at least another six months and we're already slowing before that rate hike takes effect... I get this feeling that the Feds may be the one's who will ultimately trash the economy and import inflation into the U.S... talk about a tragic irony.....

I'm not trying to pump up a bearish case for these markets... if anyone has a reasonable argument to counter these concerns, I'd greatly appreciate it...<g>

GZ