Federal Reserve keeps rate at 40-year low, on alert for Iraq
Federal Reserve policymakers raised the alarm Tuesday over geopolitical risks, a veiled reference to war in Iraq, but left short-term interest rates at a 40-year low, at least for now.
Two of the 12 members on the Federal Open Market Committee voted in vain for an immediate cut in the 1.75 percent federal funds target rate, the committee said in a statement. Low interest rates and robust productivity should be enough to help improve the business climate, it said.
Good News indeed! The war hasn’t even started yet and it’s already paying dividends. Get your investment broker on the phone, start buying Defense Department contractors stocks, start buying stocks in oil, and for gods sake… don’t forget to get that yellow ribbon on the tree out front.