22-09-2022, 12:45 PM
(22-09-2022, 12:36 PM)sgbuffett Wrote: At 20% the entire GDP is not enough to pay the interest on debt and economy will collapse.
Beware of people putting out extreme scenarios.
Once inflation comes under control Fed will pause.
Powell speech mention there is time lag between rate hikes and its effects.
Definitely not 20% but 5% is the near term target, current rate is 3.25-3.5%….if inflation is still high, they may lift rate further.
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