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Australia Interest Rate prediction this year

Discussion in 'Property Market Economics' started by Tekoz, 27th Aug, 2015.

  1. Tekoz

    Tekoz Well-Known Member

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    Major Global central banks are TRAPED. The question – What would you do If you are a Central Bank and have control over money supply?

    - REDUCE money supply by increasing interest rates and stop money printing. Resulting in Great Depression and Anarchy /riots at the street
    - OR INCREASE the money supply by printing more money and lowering interest rates that will eventually create Hyperinflation. Death of Money. Wipe out the value of your currency.​

    No matter what they do, the whole global financial system will ultimately collapse…

    Since the system is a DEBT base economy, Central Banks are more inclined to Print More Money and lower interest rates to avoid Great Depression and Anarchy /riots at the street.

    Doesn’t take a genius to predict the following future decisions by major Central banks and Government:
    - US Fed Reserve can’t raise rate soon BUT NEED TO RE-START their QE money printing program again.
    - China to lower interest rate further and START QE money printing program.
    - ECB to print more EURO $ and Bank of Japan to follow and also Bank of England
    - Australian Reserve Bank will be cutting rates further before the end of this year.
     
  2. Aaron Sice

    Aaron Sice Well-Known Member

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    you missed a third point -

    3) kick the can down the road.
     
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  3. Waterboy

    Waterboy Well-Known Member

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  4. Tekoz

    Tekoz Well-Known Member

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    Cool, let's wait for that prediction to come true :D
     
  5. JDP1

    JDP1 Well-Known Member

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    I disagree with the first two points. The US will not restart QE programs. No need to as they are doing fine.
    And China has so many bullets, they don't need to instigate qe programs. They will just cut their merry way out of the hole if required.
     
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