If the Fed put up rates by a quarter of a percent will it really be the end of the world like some investors think
If the Fed put up rates by a quarter of a percent will it really be the end of the world like some investors think? Investors have become paranoid about a possible hike in US interest rates. We think the panic being spread about US rate rises is being promoted by speculators and traders who have no interest in sustainable growth. But with the US economy strengthening, evidence of a recovery in Europe, and the risk of asset bubbles, rising interest rates simply represent a much-needed step towards normalisation of the world's monetary policy and economy. It isn't to be feared. The concern is that the US Federal Reserve will take the panic over rising rates to heart. But the Fed can't let paranoia affect its judgment and create an asset bubble. Read more: (VIEW LINK)
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