Quote:You think the deficit is bad now? It would get much much higher if they raised interest rates. In reality, the Fed can't raise interest rates because the country can't afford it.

Quote:The country can afford it, it just doesn't want to.

 

Exactly.  A 1/4% (at least) rate hike would be a start.

 

Quote:If anything it is looking more like the Fed is planning on dropping rates into the negative :/

 

I doubt that would happen and if it does, say hello to another recession.  One thing that is hampering The Fed right now is political season and it being an election year.  If one looks at basic fundamentals right now, the stock market as well as the overall economy is weak and in danger of another burst bubble.  The market is artificially pumped up right now and setting up for yet another huge decline.

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