Be the first to like this
Its pretty worrisome if the FED removes itself out of the equation. Several factors in the economy still show a worrying trend. 1) Take a look at the flow of money (in the last 3 years) into Fixed income vehicles (billions of $'s). 2) Employment data is still not strong as companies went through major cost cutting, laid off a large number of employees to reduce their fixed costs. 3) Investment in equipment, infrastructure and other items is doing ok but its not enough. 4) Residential mortgages and most homes are still under water. 5) Large companies have plenty of cash and see no need to borrow money. 6) Small business can not borrow money since banks are not lending. 7) Europe looks terrible. We need job creation as a priority.