Should Greenspan pause now?

Sep 3, 2005 1:42 pm

lost jobs: 1,500,000 +

consumer spending: down

US exports: down

energy crisis in full swing

This would be a perfect excuse to pause from increasing rates. What do you


Sep 3, 2005 8:35 pm

I would pause until the full effects of Katrina are known.

However, higher oil prices are going to translate into higher prices for eveything else; thus, causing a jump in inflation. And we all know that inflation is Greenspan's bogeyman. Will this, in turn, force Greenspan to raise rates? Who knows.

Sep 4, 2005 5:40 am

My guess is that the fed will pause and review the new data before they raise the rates. 

They could always raise rates .50 @ the next meeting