Author Topic: Fed raises rates  (Read 12354 times)

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Offline eyephone

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Fed raises rates
« on: December 16, 2015, 11:04:33 AM »
Fed raises rates by 25 basis points

Offline Irvinecommuter

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Re: Fed raises rates
« Reply #1 on: December 16, 2015, 11:25:30 AM »
I am pro-low rates but a 0.25 raise is not terrible.  Inflation is still non-existent and lending is still slow.  We shall see what happens.

Offline paperboyNC

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Re: Fed raises rates
« Reply #2 on: December 16, 2015, 12:04:36 PM »
Effect on 30yr mortgage rates should be close to 0. ARMs should start to see rate increases if the Fed continues to raise rates.

Offline AW

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Re: Fed raises rates
« Reply #3 on: December 16, 2015, 12:18:34 PM »
As said, low inflation should lead to low rate increase.

ARMs and anyone borrowing against equity should see a bump.

Also interested if new house prices will see some change especially if rates are expected to be raised again next year.

Offline eyephone

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Re: Fed raises rates
« Reply #4 on: February 09, 2016, 12:32:00 PM »
There is a report that Fed tells banks get ready for negative rates scenario. This is a part of the stress test for banks.

Offline AW

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Re: Fed raises rates
« Reply #5 on: February 09, 2016, 12:35:19 PM »
Like in Japan where they'll charge you interest on your balance.  Yikes.

Offline lnc

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Re: Fed raises rates
« Reply #6 on: February 09, 2016, 12:41:20 PM »
But let's hope there's going to be a  negative rate 30 year fixed rate mortgage. :)

Offline eyephone

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Re: Fed raises rates
« Reply #7 on: February 09, 2016, 12:50:30 PM »
But let's hope there's going to be a  negative rate 30 year fixed rate mortgage. :)
I like how that sounds.  ;)

Offline Bullsback

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Re: Fed raises rates
« Reply #8 on: February 09, 2016, 01:01:13 PM »
Scary to think about. I suppose negative rates will encourage people to spend more and thus try to stir / create inflation but shit, I just don't like that idea. 

Offline Ready2Downsize

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Re: Fed raises rates
« Reply #9 on: February 09, 2016, 03:34:03 PM »
It will encourage me to take my cash out (which I got from my downsizing) to avoid paying the bank to show I have it on paper.

I'm sure they'll decide to not charge a fee if they see a run on the banks.

Offline eyephone

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Re: Fed raises rates
« Reply #10 on: February 11, 2016, 09:07:50 AM »
There is a report that Fed tells banks get ready for negative rates scenario. This is a part of the stress test for banks.

Today, Yellen confirms negative interest rates to Congress.

Offline qwerty

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Re: Fed raises rates
« Reply #11 on: February 11, 2016, 11:47:56 AM »
It will encourage me to take my cash out (which I got from my downsizing) to avoid paying the bank to show I have it on paper.

I'm sure they'll decide to not charge a fee if they see a run on the banks.

And do what with it? Put it under your mattress? And if you do anything other than that then they were successful in getting you to spend your money.

Offline paperboyNC

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Re: Fed raises rates
« Reply #12 on: February 11, 2016, 11:53:30 AM »
It will encourage me to take my cash out (which I got from my downsizing) to avoid paying the bank to show I have it on paper.

I'm sure they'll decide to not charge a fee if they see a run on the banks.

And do what with it? Put it under your mattress? And if you do anything other than that then they were successful in getting you to spend your money.

Offshore bank account? Bank it in Mexico? Canada? Switzerland? Cayman Islands?

Offline AW

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Re: Fed raises rates
« Reply #13 on: February 11, 2016, 12:03:15 PM »
So the benefit of negative rates would be boosting spending.

Downside is making people save less that will increase the risk of default, that and more robberies (hoarding cash).
Buy stocks in guns (already shot up ~pun) and safe manufacturer.

Offline spootieho

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Re: Fed raises rates
« Reply #14 on: February 15, 2016, 12:46:40 AM »
Scary to think about. I suppose negative rates will encourage people to spend more and thus try to stir / create inflation but shit, I just don't like that idea.

Inflation robs the savings of the elderly.  A lot of the kids these days are more open to inflation because it will probably benefit them more than it hurts them. The older people get, the less welcome they should be to inflation.
« Last Edit: March 01, 2016, 10:18:11 PM by spootieho »

 

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