Cavuto: "Interest rates are going up because the economy's looking up"

[Bush_Eats_Beef]

It is quite right to talk about interest rates (search) going up. It is quite right to talk about them likely going up more. But it is wrong not to tell you why they're going up. And that's where I fault many in the media: They pounce on the bad and ignore the good.

If you're in debt, of course, rates going up... well, that's bad. Forgotten, equally of course, is if you're thrifty and save, rates going up... well, that's good. The bigger point is this: Rates are going up because the economy's looking up. The economic numbers prove it. Strong corporate earnings confirm it.

The risk is that the better things get, the higher prices will get, hence that wacky Federal Reserve fixation to take away the punch bowl before we're all punch-drunk spenders. Frankly, I think the Fed is overdoing it. But alas, rates keep going up. So far though, it's important to point out that "most Americans" are still feeling up. They are still buying computers, still buying homes, still buying cars, still buying lots of stuff. Which is why rates keep going up.

http://www.foxnews.com/story/0,2933,164914,00.html

[borlis]

1. With interest rates steadily climbing,

when will they raise interest on savings accounts? I think my $$ in the bank is still making about 1%!!!! :mad: :mad:

[Carolab]

2. Unspin the budget

http://query.nytimes.com/gst/abstract.html?res=FA0711FE3F540C728DDDAE0894DD404482&n=Top%252fOpinion%252fEditorials%2520and%2520Op%252dEd%252fOp%252dEd%252fColumnists%252fPaul%2520Krugman

EDITORIAL DESK | July 11, 2005, Monday

Un-Spin The Budget

By PAUL KRUGMAN (NYT) Op-Ed 806 words
Late Edition - Final , Section A , Page 17 , Column 1

ABSTRACT - Paul Krugman Op-Ed column expects Bush administration to claim that modest, probably temporary lull in flow of bad news shows that its economic policies have been vidicated; contends that Pres Bush has presided over transformation of budget surplus into large deficit, which threatens government's long-run solvency; blames Bush's tax cuts and decision to take nation to war; says nation's revenue remains far lower than anyone would have predicted before tax cuts began, and even nonpartisan budget experts believe that limited good news on budget is temporary blip; says nation will not get out of quagmire it is in until future president admits that Bush tax cuts were mistake, and must be reversed (M)

http://www.uncle-scam.com/Breaking/july-05/nyt-7-11.PDF

[Stirk]

3. This message brought to you by MiniTrue.

Some of our less loyal comrades have failed to see the wisdom in the Leader's economic policies. You see, if you have no home, then you have no mortgage payment! That means lots of free money!

Similarly, if your car is reposessed and you have no car, then you have no car payment! Lucky you!

Also, with a lack of medical insurance comes freedom from medical insurance bills!

Hail the glorious leader!

[getmeouttahere]

4. Where do they get this stuff....

punch drunk spenders...yeah, I wish!

Gas just went over 2.70 a gallon in my area.

Can we not show pics of these asshats? Sorry, but their bullshit is more than I can stand, let alone having to look at them.

[leftofthedial]

5. interest rates are going up because the economy is good

interest rates have to go up because the economy is bad

we need to cut taxes because the economy is so good

we need to cut taxes because the economy is so bad

[rman]

6. Weak worker earnings deny it

Really, who's economy is this anyway?

[CrackpotAmerica]

7. It's Looking Up, Alright:

It's looking right up the little hole at the bottom of the toilet. Just wait til oil prices hit $70.
Speaking of which, with their RECORD PROFITS, one would think that they could add some WASHER FLUID to the filthy water at the window cleaning station by the pumps.

Geez!


:)

[HughBeaumont]

8. Someone needs to dropkick Shillvuto in his fat neck

Can this guy get ANY more insufferable with his continual handjobbing of the Pretzeldunce, especially in regards to the economy? The middle class is getting priced OUT of homes in the suburbs of most big cities. We're in hock up to our EYEballs.

[mcctatas]

9. Personally, I think this steaming pile of human excrement

is the most insidious of all FAUX news bushbots. He gives financial advice/opinion based on and ideology, not sound economic principles. Plus my fundie mother in law is always quoting him to me because we both have MS, she actually told me how "difficult some days are for him", as if I don't know. She is under the misguided belief that a common ailment should translate to a common ideology!:banghead:

[aquart]

10. Rates are going up because inflation is zooming.

Our money isn't worth spit. So the banks need more of it.

[kodi]

12. that's right, dollars are not as valuable as they once were.

so we need more of them to buy things.

if you have to use T bills to bring in money to run the government you have to make it attractive to buy them and that means high rates of return, and that drives the interest rate.

[Carolab]

14. I read that * has lots of T-bills, too. n/t

[wli]

11. interest rates are exploding because the dollar's imploding

[DesEtoiles]

13. Ignorance is strength