Quote:
Originally Posted by Buckeye
A) I have no respect for the Federal Reserve whatsoever.
B) My specific point against fear and illogical selling holds.
C) What are the alternative assets other than US stocks to buy?
|
A) Whether you respect the Fed or not*, you should respect the power of monetary policy.
B) If you believe Fed Funds have actually increased by 500 bps since the summer of 2014 (using a QE-adjusted Fed Funds rate), it doesn't seem illogical really. Was it illogical when the market was rallying? Maybe you thought it was - some did (I was in that camp over the past year or so).
C) It depends on how actively you manage your money. If you're active, t-bills yielding almost 2% aren't a bad thing.
*Much of the high levels of debt in financial system is due to an overly accommodative Fed (post the early 80s). If that's your point, we agree.
