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Strategies & Market Trends : John Pitera's Market Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: MulhollandDrive who wrote (8181)8/26/2007 8:02:18 PM
From: Augustus Gloop  Respond to of 33421
 
<<at this point, all indications would say yes>>

I agree.

So if they lower rates does that increase or lower the profit/wealth creation potential?

It lowers it or (depending on how low they go) eliminates it.

<<however, we have a USD valuation problem that could be an issue should the FED try to intervene with lower rates with the USD nearing record lows>>

Exactly!

So I go back to the question at hand. If we're going to lower general rates (and it looks like we will) doesn't it make more sense to bail the situation out in an effort to control debt levels AND avoid a whole host of issues that would result by lowering general rates?