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BETAPRO SP500 VIX ST FTRS 2X DLY BULL T.HVU



TSX:HVU - Post by User

Comment by TheCapitalistBearon Mar 24, 2016 11:30pm
102 Views
Post# 24700135

RE:RE:RE:RE:So far a great day

RE:RE:RE:RE:So far a great day

This is why the question is "what will The Fed do?". They're backed into a corner where they should have raised rates a long time ago (actually they never should have cut them). So they don't want to raise rates because if they do, the economy will crash. So they're playing cat and mouse pretending to raise rates, doing a tiny hike here or there. 

What would 2 hikes of 0.25% do? Well one hike in Dec caused a 300pt crash in S&P. You can do the math. The problem is, will The Fed be dumb enough to do it? I don't know. Before Dec they threatened rate hikes for an entire year before actually doing one. And in Dec they said they'd hike at the last meeting this March, but instead they balked. 

I encourage you to read some good Austrian Economists like Peter Schiff, Jim Rogers, and Marc Faber who focus on the Fed and monetary policy. Forget about any of their recommendations, and just try to understand their thought process and theory. You don't even have to believe it, but it's important to know all outlooks and find the one you agree with. Remember they are macro guys on long time frames, not shorter time frames like HVU. I'm linking a good Schiff interview below:

https://www.youtube.com/watch?v=NQ1uNG_Yro4

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