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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?


To: Les H who wrote (41490)9/16/2005 1:19:55 PM
From: Les HRespond to of 306849
 
Why should interest rates spike? The Federal Reserve controls American interest rates. If it wants to keep the price of the ten-year Treasury bond high, it can simply start buying bonds until the price of ten-year Treasuries is what the Fed wants it to be. There's no reason for employment in construction and other interest rate-sensitive sectors to fall before employment in exports and related sectors rises--at least not unless the Federal Reserve makes a big mistake and allows rising interest rates to shoot the economy in the head.

From: the coming dollar crisis?

j-bradford-delong.net