My New Blog

Today is Fed day.  So far the crystal ball readers say the Fed will reduce the federal funds rate by .5%- Maybe even do a .75% cut.  The Fed Funds rate currently stands at 1%.  Market Volatility is a sure thing- and Remember- The Fed cutting Federal Funds rate does not mean interest rates will follow. Typically it will mean just the opposite.  The Fed is doing this to get money off the sidelines and back in play in the stock markets.. this takes money from our bond market and causes rates to increase.

Another Ponzie scheme in the market... Bernie Madoff mad some news.  What is it with greed in this day and age?  First Petters now this?  Bernie dealt with lots of high profile people and high profile hedge funds investors.  Some of these funds have been hit so hard they will now need to raise capital and to do so- they will potentially sell mortgage bonds.

Lastly- i know many of you are waiting for the rates to get better or drop to 4.5%. I understand everyone wants the best rate available- but these are the best rates we have seen in over 50 years.  We are much closer to a bottom than we are to a top at this point.  We will not know a bottom until it has passed...

Thanks for reading