rates are normalized no reason to cut except to panic the markets to believe that things are going south. Low rates equal massive gov't spending and bloated residential real estate/rents are still way too high in most markets. Interest Rate in the United States averaged 5.42 percent from 1971 until 2024, reaching an all time high of 20.00 percent in March of 1980 and a record low of 0.25 percent in December of 2008. Ecomony is still overheated with many sectors left 50-100 percent higher than 2020 such as energy and housing.
Supposedly but not really. Even still, there are very good arguments for why a rate cut should be coming sooner rather than later. It really depends on the Feds priorities.
How are those 6 cuts starting in March working out for you??? There is no need for cuts - these people want them but we will pay for it with more cheap money floating around. FED cut its QT from 90 billion a month to 60 billion a month - why? Because this is a mess - this is ready to tip over. Enjoy.
I love how former FED officials go on to work for the worlds biggest investment banks later on in their career. Reminds me of how military generals get board seats at the worlds biggest defense manufacturers after retiring from their service. Glad that there is a perfect alignment of interests for all parties involved.
![PREPARE for Powell's Surprise Speech Tomorrow [Federal Reserve].](http://i.ytimg.com/vi/tuEDoa9qL4E/mqdefault.jpg)
rates are normalized no reason to cut except to panic the markets to believe that things are going south. Low rates equal massive gov't spending and bloated residential real estate/rents are still way too high in most markets. Interest Rate in the United States averaged 5.42 percent from 1971 until 2024, reaching an all time high of 20.00 percent in March of 1980 and a record low of 0.25 percent in December of 2008. Ecomony is still overheated with many sectors left 50-100 percent higher than 2020 such as energy and housing.
These guys at the fed are independent right?
Supposedly but not really. Even still, there are very good arguments for why a rate cut should be coming sooner rather than later. It really depends on the Feds priorities.
Onshoring has accelerated? Give me a break 😂😂
How are those 6 cuts starting in March working out for you??? There is no need for cuts - these people want them but we will pay for it with more cheap money floating around. FED cut its QT from 90 billion a month to 60 billion a month - why? Because this is a mess - this is ready to tip over. Enjoy.
Leverage 3:1
Buy Share1:
1 Month=5B
12 Month=60B
360 Month=1,800B
Yield(Average)=8%
Yield(30 Year)=1,800B*1.08^30
Yield(30 Year)=18,000B=A
Buy Share2:
Yield(Average)=12%
Yield(30 Year)=1,800B*1.12^30
Yield(30 Year)=53,900B=B
Buy Share3:
Yield(Average)=15%
Yield(30 Year)=1,800B*1.15^30
Yield(30 Year)=119,100B=C
Total(30 Year)
=A+B+C
=18,000B+53,900B+119,100B
=191,000B
Debt(Max)=? Yield=5% Year=30
Debt(Max)=191,000B/1.05^30
Debt(Max)=44,190B
{
Current Debt=35,000B
Balance=9,190B
}
Balance=9,190B
{
Invest=3,600B Dividen=5%=180B
Balance=5,590B
}
Thank you.
Nice click bait
Is he the Marlboro Man?
If we want until September to cut rates, then we have sealed our fate for recession
Government Sachs
Hard to see GS getting it wrong
Kaplan said a shock would get the fed to cut rates.
2019
Cut already
Agree, in 9 days
I love how former FED officials go on to work for the worlds biggest investment banks later on in their career. Reminds me of how military generals get board seats at the worlds biggest defense manufacturers after retiring from their service. Glad that there is a perfect alignment of interests for all parties involved.
Can't trust do gooders