The FOMC meets this week to determine the interest rate for the US and whether it'll hold to the movements from December. The market puts the movement at virtually zero, while actually backtracking and
lowering the rate back down has about a 3% chance. With The Central European Bank declaring a continuation of quantitative easing last week, the world is watching and hoping that the Fed will hold off on raising rates a bit longer due to the general malaise that's currently lingering over markets from the US to China. Despite how serious this (and any Fed) meeting is, it's likely that the average American doesn't really know about it, the meeting's implications, or even care too much about the outcome more than whether he or she will be able to afford a little extra discretionary spending and saving. With the role the Fed takes in the economy, general trading principles, the importance of credit score, and other key financial knowhow not being taught in the school system, it's not too surprising, unfortunately. That lack of education can come to bite you if you don't take the time to educate yourself on how to secure your own financial freedom. Even something as simple as trading into other currencies as a hedge against inflation and other systemic risks can improve one's financial safety. ...and done right with training, you can even make money doing it. Join Matt and Tim for a discussion of economics, politics, and more.
Direct download:
TJ140EconomicsAndPolitics.mp3
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Podcasts
-- posted at: 11:58am MDT