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RE: Why the Fed Hates Gold.

in #market7 years ago

If we are entering hyperinflation I would expect to have seen more aggressive interest rate rises. I actually think if they raise interest rates by more than a couple of percent it would very quickly topple the economy into deflation as loans fail, stocks roll over, and real estate plummets.

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@unclehermit I actually think that hyperinflation comes about because interest rates are kept artificially low for too long so even though we could see the target for Fed Funds go up to 2.5% it could still lead to a loss of confidence in the issuer of the currency or Federal Reserve System.

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