Fed Interest Rate Cut

75 BPTS?! holy schamoly!

When did this happen?

If FED cut 75 bps, that will be incredible. I think this action will deteriorate even Bernanke’s losing prestige. That means Bernanke could not see the future of US economy brightly enough, therefore, reducing rates in a zigzag way… I think 50bps cut in Jan 30.

its going to. trust me

I was searching the news like it just happened.

Ninja rate cuts.

What is the source of this? I’ve only heard 50.

65% chance of 50 bpts 42% chance of 75 i have heard

FFIP on your Bloomberg if you have one folks. Here are the odds based on Fed Funds Futures: 100% chance of 50bps or more 48% chance of 75bps

65 + 42 = 107%?! Those are some serious probabilities!

I think the fed may even cut tonight/early tommorow, or do some heavy open market actions. This is August 15th all over again Tommorow is option exp day as well. Could be very interesting

100% 50 bps cut??? BBG says 55.7% for 50 and 42.1% for 75. The last 2.2% is for 25bps. 42.1% for a 75 bps is pretty up there. I doubt the Fed would go that far.

They know nothing!

In the face of the biggest inflation number in 17 years, we are talking about a 75 bp CUT in interest rates? I’m definitely losing touch.

Stagflation, baby…

^^agree

JoeyDVivre Wrote: ------------------------------------------------------- > In the face of the biggest inflation number in 17 > years, we are talking about a 75 bp CUT in > interest rates? I’m definitely losing touch. never said I liked it, but I think it’s coming. Gold baby!

I think the object is to stimulate the economy for as long as you can, and make sure you can lie about the inflation numbers.

shark777 Wrote: ------------------------------------------------------- > 100% 50 bps cut??? > > > BBG says 55.7% for 50 and 42.1% for 75. The last > 2.2% is for 25bps. > > 42.1% for a 75 bps is pretty up there. I doubt the > Fed would go that far. Not sure where you are seeing that other 2.2% but your numbers suggest 97.8% chance of 50bps or more. How is that so different than the 100% I quoted? The key words (which perhaps you didn’t read) are “or more”.

So back in '73 at the end of the Vietnam War we had skyrocketing gold prices, diminished confidence in the dollar leading to the dollar being dropped as the global peg currency, and then about 7 years of miserable stock market/inflation/unemployment. Then years go by and we get another crazy president who starts wars in places most people can’t locate on a map and we get… Of course, this time we have a strong Fed and a proactive monetary policy. And since inflation is always and everywhere a monetary phenomenon, this kind of economic problem is history. This sucks. I can’t believe I voted for that psycho.