Should Yellen raise interest rates in September? (banking, average, economy)

[hensleya1]

For years I was calling for the Fed to raise interest rates but that's no longer the case now that our government has added trillions to the national debt with no economic recovery to show for it.

Increasing the interest rates now would cause not only an economic contraction but also cause interest payments on the national debt to grow so large that they blow a hole in the budget that no tax increase would solve.

We need to grow the economy first...

[dpm1]

I voted yes.

Will she? I doubt it.

[dpm1]

Originally Posted by TrapperJohn

14% CD's for old people, 12% mortgages and crushing student loan debt for the kids.

But that mortgage rate will effect property rates. It is not all doom and gloom.

[GoldenZephyr]

Vote no, it would be bad for the country overall.

The dollar is strong already against other currencies, we don't need it to go higher, that only hurts manufacturing in the US.

Other countries are going to negative rates. The US does not gain by raising rates against a global tide of declining rates.

There is little need to do so and the negatives for doing so may be great. The interest burden on debt alone would crush us.

[MLSFan]

read an article on why the fed would keep the interest rates low. mostly it talked about how it gives millennials a shot to buy homes at low interest since the govt cant control the home prices directly and offering more aid wouldnt pass congress who holds the purse...

might not be true but was an interesting way of seeing it as the feds trying to help out the millennials, too bad everyone else is who are taking advantage of it. love my 0.9% car note and 3.5% mortgage...

but i still want it to go up by a half percent a year for five years to see how it does, but next president wont want to be unpopular their first term

[jotucker99]

Originally Posted by knowledgeiskey

Amid positive economic indicators, the fed is insisting that it's in gear to raise interest rates. Do you think they should go right ahead?

They should have BEEN raised them. Let the Economy recycle majority on it's own merit, not due to extremely low interest rates, all that does is create sustained "planning" based on low interest rates.

It should have BEEN raised since 2014! Raise them already and put my damn long term CDs at 3.5%!

BTW, the Republican Presidential Debate is starting

[Major Barbara]

Originally Posted by jotucker99

It should have BEEN raised since 2014! Raise them already and put my damn long term CDs at 3.5%!

You have long-term CD's???

Originally Posted by jotucker99

BTW, the Republican Presidential Debate is starting

No, thanks. I have drying paint to keep an eye on. Trump and the Seventeen Dwarfs can't compete with that.

[J.Thomas]

I'd like to hear Major Barbara's opinion about that.

What say you??

[mathjak107]

Originally Posted by hensleya1

For years I was calling for the Fed to raise interest rates but that's no longer the case now that our government has added trillions to the national debt with no economic recovery to show for it.

Increasing the interest rates now would cause not only an economic contraction but also cause interest payments on the national debt to grow so large that they blow a hole in the budget that no tax increase would solve.

We need to grow the economy first...

no recovery ? i don't know many people still in fear for their jobs on a large scale or even thinking about their job security the way we did in 2008.

we may not be in great shape but we certainly are a whole lot less bad .

but like taking medicine did the monetary policy do the trick or we got better on our own ? don't know but the fact is we are still the best house in the worst neighborhood .

[lchoro]

Taylor Rule indicates a 3% Fed discount rate would be called for.

Rule it out | The Economist