dr.doolittle

Bond Expert: Thursday Wrap

So is now the time to start raising rates? I thought so in the fall. It seems from what you have said that the Fed has provided as much stimilus as is possible not to blow up the bond market. Would you agree? No one will say this Fed chairman didn't do all he could do to save the Republicans, unlike the last one. Having said that, real interest rates have bottomed and you can't just buy three and six month t-bills and make a killing. The 1970's had both inflation and high unemployment. That was the last time the Democrats dominated the country. The bad apple doesn't just fall next to the tree, this one has stayed on it. Is it just too much to ask that looking forward we have stagflation coming?