FED HIKES RATES, FORECASTS 3 HIKES IN 2017

[CountAllVotes]

Source: Yahoo Finance/CNN

For the first time this year, the Federal Reserve raised interest rates on Wednesday, a widely expected move following strengthening economic reports and signals from Fed officials.

After its two-day policy meeting, the Federal Open Market Committee unanimously voted to raise the range of the federal funds rate to 0.50% and 0.75%, citing progress in economic activity and labor market growth.

“In view of realized and expected labor market conditions and inflation, the Committee decided to raise…the fed funds rate,” the central bank wrote in its statement.

The Fed also reiterated its balance of risks statement, noting, “near-term risks to the economic outlook appear roughly balanced,” meaning that the economy is no more likely to surprise to the downside than the upside.

Read more: http://finance.yahoo.com/news/fed-fomc-rate-hike-meeting-december-2016-150648871.html

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Big Whoop!

[flamingdem]

1. The Dow is yawning tho

[RussBLib]

9. yawning?

More like plunging.

[SoCalMusicLover]

2. Article Is Wrong!

This wasn't the first time this year the Fed has raised rates. It's the 2nd. Good job by Yahoo on getting the facts correct.

Edit: Looks like I'm wrong. The last hike was in December 2015.

[CountAllVotes]

3. Shows how much of an effect it had

Basically = none.

This tidbit isn't going to fix the economy.

Glad I went long on my IRA -- 7 years.

I've had zero confidence in this economy ever since 2008 I am sorry to say.

Best of luck investors.

[pangaia]

4. I don't have the courage to go that long.

Doing T-Bills and very short notes..."rolling' over as they mature into 1-2 year notes..
Something like that....

[CountAllVotes]

5. lol ...

I have one that goes 30 years!

Doing quite well btw. Paying close to 6% at the moment! FDIC as well.

I was taught not to trust Wall Street.

[pangaia]

6. I'm 73.. Can't do 30 years..

I'll be dead.. I hope.

What are you doing.. Mexican BBBs?

LOL !!

[CountAllVotes]

7. I know!

I'll likely be dead too.

It was inflation bonds that I bought into with some $ I won. The Treasury wanted me to send them in for EE bonds but I said no thank god (not knowing ...).

Can cash them at anytime btw. No plans to do anything right away!

[pangaia]

8. Do you mean TIPS?

[CountAllVotes]

10. No not TIPS

They reset every six months. I have ones issued year 2000.

New ones are not paying 3.4%. They are now at 0%.

https://www.treasurydirect.gov/indiv/research/indepth/ibonds/res_ibonds_iratesandterms.htm

[pangaia]

11. I never heard of these..

Looks like ones bought now pay 0% fixed plus 2x the 1.38% inflation rate = 2.76%.

so I will investigate..


Thanks..

[CountAllVotes]

12. yes that is right

2.76 + 3.4% = 6.16%

They do go up and down. At times they have paid over 8%.

They've got me through this era of no rate hikes.

I only wish I had more of them of course.

Glad I did not listen to the treasury as I had to have the beneficiary changed a few years after I got them!

No wonder they wanted them back!

Was $2K initially and now it is abt. $5K just holding on to them.

Best of luck!

[pangaia]

13. back in about 1983 I bought Zeros. Paid around 10%

If only I had known.

"&gt )