User 158320

Greenspan's Latest: Oil Boom Will Likely 'Go on Forever'

"Unlike the stock market where he had no direct control, Fed Chairman Greenspan had ultimate control of where the Fed Funds rate was headed"

That's flat out untrue, the chairman doesn't have the authority to dictate interest rates and even if the whole body of federal reserve members voted for an action the market responds accordingly checking whatever move they make, the federal reserve only mitigates interest rates to reflect economic conditions, the market sets interest rates, not government.

If the fed could manipulate interest rates by simply changing them without market counter actions we'd never have a recession and have a continual boom forever, unfortunately that's not the case.