Rate cut = more inflation?

[LiveFree79]

How is this possibly going to make things better? Am I missing something? Let the damn markets collapse and then go from there!

 

[tmosley]

It makes the stock market go up. The value of the DOW is the only variable in the economy to a lot of people. If it's up, we're good, if it's down, we're bad.

In their simplistic minds, raising the dow makes everything better. Of course, they don't know what they are doing.

 

[Otter Mii-kun]

won't work

It's part of the global monetary authorities' "obligation" to "prevent deflation" and keep prices up at all times.

I am so sick of crap about how "interest rates are too high" and that more rate cuts are "absolutely needed" (including this one) in order to "prevent another Great Depression/avoid Armageddon".

We are in this mess because interest rates were too low for too long-not because they were "too high"!
Just how will keeping us addicted to cheap credit and debt allow for any "recovery"?

Where is Jim Rogers when we need him!

 

[TheEvilDetector]

It's part of the global monetary authorities' "obligation" to "prevent deflation" and keep prices up at all times.

I am so sick of crap about how "interest rates are too high" and that more rate cuts are "absolutely needed" (including this one) in order to "prevent another Great Depression/avoid Armageddon".

We are in this mess because interest rates were too low for too long-not because they were "too high"!
Just how will keeping us addicted to cheap credit and debt allow for any "recovery"?

Where is Jim Rogers when we need him!

It helps the banks, that's the only reason they need (although this is not stated publicly).

 

[Bruno]

It was a coordinated global rate cut, for the first time ever, and is only setting precedent for a global currency.

 

[TheEvilDetector]

It was a coordinated global rate cut, for the first time ever, and is only setting precedent for a global currency.

It sucks that mostly psychopaths seek power and office, with their deranged policies and conspiracies to enslave their fellow man.

They should just go to a different planet and kill each other off.

I know that's wishful thinking.

 

[dsentell]

It will give a little boost to the market on the short term. Question is how long will the boost last? IMO one day at the most . . . .

 

[muh_roads]

I think investors have finally caught on that lower interest rates is what got us here in the first place.

 

[bluemarkets]

yes, in the long run lower rates will cause more inflation and put more downward pressure on the dollar....

let's see where the market closes today and for the week and then you will be able to better gage its 'effectiveness'

I see it no more than bandaid ... markets will head lower