BizJournals Portfolio
Sep 05 2007 12:00am EDT

Reason #636 We Need a Rate Cut

Hey, growth is slowing. See the depressing UN report out today that has us behind even Japan now. See the Beige Book report. The idea that a rate cut is going to spark huge inflation just doesn't follow. Wage pressures? From where? Price pressures? It's the world of Wal Mart. Yes, we've had high energy costs and some other but we should deal directly with them instead of slowing the whole economy down. I fear the subprime mess has made it worse. Now any cut will be seen as a bailout when it should be seen as common sense, something we needed even before the credit crunch of August. I fear after the 4% GDP number of a week ago the Fed will stick with the current 5.25 federal funds rate. Maybe the Republicans will actually broach this tonite at their debate? Mike Huckabee, it's your cross of gold moment!


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