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Non-Tech : Kirk's Market Thoughts -- Ignore unavailable to you. Want to Upgrade?

To: Cogito Ergo Sum who wrote (13727)	5/18/2022 2:05:58 PM
From: Rarebird	Read Replies (2) \| Respond to of 26837

There is the question of margin calls coming into play in a down market with the Fed raising rates aggressively. Do you really think Trump would have let Powell get away with this BS?

To: Cogito Ergo Sum who wrote (13727)	5/18/2022 2:24:54 PM
From: Kirk ©	1 Recommendation Recommended By SGJ Read Replies (1) \| Respond to of 26837

Yeah, close your eyes and imagine if we were getting 5% on CDs like we were during the financial crisis and the Fed lowered the short term rates to 1.0%.... My first home loan was a VARIABLE loan at 14% and I was envious of my parents who had a CAL-VET loan locked in at 4.0%! I learned from history and advised my readers to not use cash to buy CDs but buy iBonds and get a long term loan locked in when rates were around 3%. I ate my cooking too and I love getting over 10% on some of those bonds in a portfolio larger than my mortgage while paying the bank 3.375% and DEDUCTING the interest! You gotta figure though.. relative to history ... rates are still dirt cheap... most of today's gurus have no idea what high rates are... utterly clueless.. but your read on their lack of experience and panic was spot on Today those who buy stocks probably own homes and have a very low risk of default due to the fed and government induced inflation. Here is a chart I often show in my newsletter to get perspective...