Seeking Alpha

Bullard sees first rate hike in less than a year

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Comments (13)
  • Captain Pike
    , contributor
    Comments (785) | Send Message
     
    should be replaced
    2 Apr 2014, 01:18 PM Reply Like
  • WisPokerGuy
    , contributor
    Comments (1080) | Send Message
     
    Agreed. Bullard is the person you LEAST want to listen to on the Fed. That said, I do believe rates will slowly rise over the next 12-24 months and I think the TBT was a terrific investment at $62 and is still a good bet to make you happy long term at $69.
    2 Apr 2014, 10:18 PM Reply Like
  • Roy Manning III
    , contributor
    Comments (74) | Send Message
     
    If you believe him you should invest in TBT bond short fund.
    2 Apr 2014, 04:33 PM Reply Like
  • Douglas E. Johnston
    , contributor
    Comments (1781) | Send Message
     
    "sees no bubble now": he's too busy getting all the gooey pink sticky stuff out of his hair from the last time around
    2 Apr 2014, 04:34 PM Reply Like
  • memshu
    , contributor
    Comments (577) | Send Message
     
    In 1990 bank of Japan hiked rates from 4 to 7 causing nikkei to halve and sending the country into deflationary tailspin
    now Bullard will raise fed funds from 0.25 to 4.5 in 12 months time?
    I'll have some of the stuff he's smoking, thank you
    2 Apr 2014, 05:40 PM Reply Like
  • mobyss
    , contributor
    Comments (2228) | Send Message
     
    He said 4.0% by the end of 2016 - 32 months from now.

     

    If the economy can't handle 4% rates by then you'll get a deflationary tailspin no matter what the Fed does. And I don't think the economy will be able to handle 4% then - so we're talking ZIRP for many years to come, just like Japan.
    2 Apr 2014, 05:48 PM Reply Like
  • memshu
    , contributor
    Comments (577) | Send Message
     
    Ok, so it's 8 fold rate hike over a 21 month period - ok, maybe. I wdnt rush out and short HYG just yet. Pass the bong
    2 Apr 2014, 06:02 PM Reply Like
  • Captain Pike
    , contributor
    Comments (785) | Send Message
     
    You never raise things that fast unless you are in a Carter-like super-inflation period, which we aren't. There is absolutely no call for adding any costs to the economy now and that is a good thing.
    3 Apr 2014, 09:41 AM Reply Like
  • The_Hammer
    , contributor
    Comments (4430) | Send Message
     
    This pampered bureaucrat needs to work a few months as a ups/fedex delivery guy and as a fast food service person at a drive thru window. This grand attitude would change pretty quickly.
    2 Apr 2014, 06:52 PM Reply Like
  • tunaman4u2
    , contributor
    Comments (3358) | Send Message
     
    These Fed guys are INSANE if they actually believe we aren't zero bound like Japan. I dare you Fed... the second the lending dries up & the market dips the zombie economy will be asking for MOAR ! !
    2 Apr 2014, 07:35 PM Reply Like
  • The Long Tail of Finance
    , contributor
    Comments (933) | Send Message
     
    Agree. On other hand, with this moribound economy not sure an extra 0.25% between friends really matters. Would be like pushing on a string.
    2 Apr 2014, 08:31 PM Reply Like
  • mr clark
    , contributor
    Comments (687) | Send Message
     
    no bubble hmm but we can see prices in large areas of the country that are 7-10avg household income ..or way more... thats a bubble there that he is unacquainted with... brought on by the corp/govt insider recipients of their bestowed largess
    2 Apr 2014, 11:53 PM Reply Like
  • A Prudent Investor
    , contributor
    Comments (1192) | Send Message
     
    We are lucky he is not the Fed chairman!
    3 Apr 2014, 12:59 AM Reply Like
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