U.S. bonds, world shares fall after Fed minutes

Now that the spend season is over and with prices at the pump over $3/gallon, the consumer grip will return to slow-down the momemtum for some time.

the 350,000 people who lost their jobs last week won’t be buying any homes I don’t think

consumer spending won’t slow in the northeast

The headline says “world shares fall after Fed minutes”. Only the American markets were open at the time this article was posted (4:46pm EST); European markets were mixed earlier in the day (the FTSE was up) and Asia was mainly up – albeit presumably before these minutes were released). Brazil – the only significant American market other than the USA – rose significantly all day. So where’s the evidence for this assertion? Surely, the article should have said “USA shares fall after Fed minutes” or “it is predicted that World Shares will fall tomorrow, as the USA has today, following the release of ….”.

Thanks to the FED, the American saver gets next to NOTHING for a return on those savings. Meanwhile the FED-inspired inflation rate eats up the principal. It’s past due time for us to get a decent (normal) interest rate again. Ending the bond purchases is a hopeful sign that the American economy is coming back to life and can breathe on its own.