What Will Ben Bernake Do? Part 4

[NL5]

Originally posted by: Queasy


5% is not great? 5% is in the historical low territory and pretty good. 4% is the lowest it has been and the economy was considered 'overheated' at the time. Unemployment would have to get to 6% to start showing signs of concern IMHO.

Were saying ALMOST the same thing. Check out -

http://research.stlouisfed.org/fred2/data/UNRATE.txt

It's certainly not in "historical low" territory, but more in the middle. You are right though, too low is a bad thing too. If I remember econ 101 something like 4 - 4.5% is considered ideal. Don't remember for sure. My point was that it's not because 5% of the population is "unemployable" - that's just plain ignorance on how the unemployment rate is calculated.

 

[SandEagle]

will this translate to lower mortgage rates? i'm hoping so

 

[LegendKiller]

Originally posted by: rrahman1
will this translate to lower mortgage rates? i'm hoping so

Not really.

 

[LegendKiller]

Originally posted by: Slew Foot

Originally posted by: LegendKiller

Originally posted by: Slew Foot
Fed to announce again tomorrow, how bad is BB going to bail out his buddies on Wall Street this time?

Im guessing 25 points.

it has nothing to do with bailing out WS. If you haven't checked, lotsa people are losing jobs up here.

Unemployment is at 5%, still full but just barely. Really, you take 100 average Americans, and 5 of them are going to be idiots, doucebags, drunkards, or too unreliable to hire anyway.


I'd talk more but Ive got a job interview today for a 20% pay raise.

LOL, the unemployment number is a joke. It doesn't take into account several things, foremost among them are people who rolled off. Second, people who were 100% comission, like RE and mortgage brokers.

As far as "up here" I meant Wall Street. I know there have been thousands of jobs lost here in structured credit, if I went back, it'd probably be well over 10k.

 

[FoBoT]

50 points and "left the door open for additional action" etc etc

 

[Svnla]

Originally posted by: FoBoT
50 points and "left the door open for additional action" etc etc

There go my savings accounts. Gotta keep them for a couple years for a new house.

 

[Slew Foot]

Originally posted by: rchiu

Originally posted by: Slew Foot

Originally posted by: LegendKiller

Originally posted by: Slew Foot
Fed to announce again tomorrow, how bad is BB going to bail out his buddies on Wall Street this time?

Im guessing 25 points.

it has nothing to do with bailing out WS. If you haven't checked, lotsa people are losing jobs up here.

Unemployment is at 5%, still full but just barely. Really, you take 100 average Americans, and 5 of them are going to be idiots, doucebags, drunkards, or too unreliable to hire anyway.


I'd talk more but Ive got a job interview today for a 20% pay raise.

Heh, with the claims you made about making millions in the stock market, (seems to recall your claim on shorting the mortgage industry) aren't you retired already?

I could be but I like my job. The hours are great, the work is fun and fulfilling, and the pay is great too.

And I just got a verbal agreement for a slight change in responsibilities and a 18% raise

 

[FoBoT]

seems like inflation might be lurking

 

[IronWing]

I was wroooooo.....wroooo.

I underestimated the human stupidity, my bad.

 

[HannibalX]

Dumb twats running things. If the prime rate goes too low, no one will make enough money on their loans for it to be worth it.

 

[Slew Foot]

Economists said the Fed decided to move a half-point rather than a quarter-point because it did not want an adverse reaction on Wall Street.

"At this tenuous time, they did not want to disappoint the markets," said David Jones, chief economist at DMJ Advisors.

http://biz.yahoo.com/ap/080130/fed_interest_rates.html




Stupid Bernake doesnt care about what's good for the country, he only cares about making the market look good.