Which way will she decide?
>>991518
Wait what are her choices and what do they do?
She has to raise rates, if only a little, to give the fed some credibility. Of course, once they've increased rates once, i don't think they'll get around to doing it again for some time. By which I mean I think there will be negative rates before we see rates of 1% or (god forbid) higher.
>>991548
What you are saying is that they should raise rated and get back their credibility by causing a recession?
>>991555
causing a recession would probably give us more power as the world would be going through an outright depression. we'll win the war of attrition.
>>991548
When they raise rates all the huge leverage starts to swing to the opposite direction. As currently the dividends are higher than rates. Banks start to bid cause they will need money as the money finally starts to flow out of the banks, debts will escalate insanely fast at this point.
>ITT morons who think an arealy announced quarter point interest hike will cause global calamity
Know how I know you're 12?
>>991595
>Debt will increase when rates increase
Are you literally retarded? Borrowing will decrease, not increase. This is as simple as it gets in terms of monetary policy.
>>991555
The fact that almost everyone on Wall Street believes there will be a rate hike and we haven't hit a recession because of it means we won't when it does happen. Expectation is everything in the equity market.
>>991701
No, you simply have no clue what you are talking about. We have all time lows borrowing with all time lows rates. As the rates rise, the money starts to flow with a insane impact.
>>991663
Babby's first econ class, now they know everything
>>991518
Who here /massivelyshortingthemarket/?
85% of my liquid capital is in $SQQQ. Slowly accumulating since October.
She can't raise rates. We've been having this discussion for years. They will go negative before they go up.
>>991518
If she raises rates Trump will win.
Raise rates to 0.5%, then give an excuse to lower them to zero again in Q3 2016.
