The Fed left interest rates unchanged at yesterday’s meeting, though they acknowledge that the economy here in the U.S. has been improving, and that they will gradually need to hike rates to keep up with inflation. Maybe. Inflation has been in the toilet recently. Second quarter GDP will be released tomorrow morning and is anticipated to show a 2.6% appreciation rate. The first quarter settled in at a meager 1.1% advance. With Stocks at all-time highs and Bonds at all-time lows, the Fed has their work cut out for them to ensure that this whole thing doesn’t blow up.
