The feeble fed is flat on the floor (say that 5 time fast!) Seriously, Yellen and the Feds are stepping in to quell the run-up in housing and stock prices. Their distrust of Trump is so great that even in the face of anemic growth forecasts for Q1, they are raising interest rates. What’s a little hike in interest rates mean to you as a stock investor? Here’s an excerpt from the article:
Janet Yellen thinks she can normalize interest rates with impunity during this current hiking cycle. If that is indeed the case, look for a flat yield curve and recession by year-end to wipe out 50 percent of equity prices for the third time in the past seventeen years if the Fed follows through on plans to hike three times in 2017.
My friends, get out of this market, ASAP! Here’s a link to the full article: http://www.cnbc.com/2017/03/08/fed-rates-hikes-will-crush-the-markets.html