Fed hikes discount rate, is it about to start?

[temeculaguy]

Much has been talked about as far as interest rates go and their effect on home prices. With today’s little tick up in the discount rate and the expected march tick up in the fed funds rate, looks like we may see the result this year. While the fed rates don’t cause home mortgage rates to rise, the numbers have a loose relationship and we may be on our way to 6% mortgages by the end of the year (which is still historically low and what it was a year ago). Since the spring buying season is almost upon us, will it cause buyers to panic, or will it stymie the stabilization, who knows, but we may start to find out. Some will see this move as the end of the stimulus era and a reason to open the champagne and declare the recession over, others will see it as a reason to head for their bomb shelters, how the piggies see it isn’t as important as how the masses will, psychology and economics are too closely related to be distinguished from each other sometimes.

http://www.cnbc.com/id/35465481

[Nor-LA-SD-guy]

If we double dip (recession) then I believe they will do whatever they can to counter that:

Give tax rebates to everyone (even those who don’t pay taxes)

lower rates below zero (OK JJ)

stop any process that they feel they need to.

I am sure they will think of other stuff I can’t.

[Nor-LA-SD-guy]

If we double dip (recession) then I believe they will do whatever they can to counter that:

Give tax rebates to everyone (even those who don’t pay taxes)

lower rates below zero (OK JJ)

stop any process that they feel they need to.

I am sure they will think of other stuff I can’t.

[Nor-LA-SD-guy]

If we double dip (recession) then I believe they will do whatever they can to counter that:

Give tax rebates to everyone (even those who don’t pay taxes)

lower rates below zero (OK JJ)

stop any process that they feel they need to.

I am sure they will think of other stuff I can’t.

[Nor-LA-SD-guy]

If we double dip (recession) then I believe they will do whatever they can to counter that:

Give tax rebates to everyone (even those who don’t pay taxes)

lower rates below zero (OK JJ)

stop any process that they feel they need to.

I am sure they will think of other stuff I can’t.

[Nor-LA-SD-guy]

If we double dip (recession) then I believe they will do whatever they can to counter that:

Give tax rebates to everyone (even those who don’t pay taxes)

lower rates below zero (OK JJ)

stop any process that they feel they need to.

I am sure they will think of other stuff I can’t.

[NotCranky]

[quote=Nor-LA-SD-guy]If we double dip (recession) then I believe they will do whatever they can to counter that:

Give tax rebates to everyone (even those who don’t pay taxes)

lower rates below zero (OK JJ)

stop any process that they feel they need to.

I am sure they will think of other stuff I can’t.[/quote]
Don’t they have to spend something like 3 years denying the second dip before we can have it?(if it is coming)

[NotCranky]

[quote=Nor-LA-SD-guy]If we double dip (recession) then I believe they will do whatever they can to counter that:

Give tax rebates to everyone (even those who don’t pay taxes)

lower rates below zero (OK JJ)

stop any process that they feel they need to.

I am sure they will think of other stuff I can’t.[/quote]
Don’t they have to spend something like 3 years denying the second dip before we can have it?(if it is coming)

[NotCranky]

[quote=Nor-LA-SD-guy]If we double dip (recession) then I believe they will do whatever they can to counter that:

Give tax rebates to everyone (even those who don’t pay taxes)

lower rates below zero (OK JJ)

stop any process that they feel they need to.

I am sure they will think of other stuff I can’t.[/quote]
Don’t they have to spend something like 3 years denying the second dip before we can have it?(if it is coming)

[NotCranky]

[quote=Nor-LA-SD-guy]If we double dip (recession) then I believe they will do whatever they can to counter that:

Give tax rebates to everyone (even those who don’t pay taxes)

lower rates below zero (OK JJ)

stop any process that they feel they need to.

I am sure they will think of other stuff I can’t.[/quote]
Don’t they have to spend something like 3 years denying the second dip before we can have it?(if it is coming)

[NotCranky]

[quote=Nor-LA-SD-guy]If we double dip (recession) then I believe they will do whatever they can to counter that:

Give tax rebates to everyone (even those who don’t pay taxes)

lower rates below zero (OK JJ)

stop any process that they feel they need to.

I am sure they will think of other stuff I can’t.[/quote]
Don’t they have to spend something like 3 years denying the second dip before we can have it?(if it is coming)

[Nor-LA-SD-guy]

Yea I think they would have a hard time doing that at 15 or 20 % unemployment.

[Nor-LA-SD-guy]

Yea I think they would have a hard time doing that at 15 or 20 % unemployment.

[Nor-LA-SD-guy]

Yea I think they would have a hard time doing that at 15 or 20 % unemployment.

[Nor-LA-SD-guy]

Yea I think they would have a hard time doing that at 15 or 20 % unemployment.

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