With China's Woes continuing with smashed exports, and devaluing their currency, with Markets spooked by Pound Crash and the Case against Brexit by UK citizens and constitutional lawyers in UK High Court, with European and Japanese economies in deflation modes and struggling, with Global Markets in Volatile phase and the USD rocketing high, with the Fed so divided, are we kidding ourselves that Fed would raise rates this year! I reckon 2 rate rises of 0.25% before 2017 is tops if they are lucky,as I see it right now. Central bankers ran out of ammunition so they won't be raising rates in a hurry, they may end up doing New QE measures, if the markets tank and USD rises rapidly as UDS Deficits would widen too as businesses struggle. As I said a while ago Central Bankers created this Casino where they Printed Money, Gave it to Punters , set the tables and asked them to punt like there is no tomorrow. They can't get out of this vicious cycle that easily. Like in 2013 this Yield Curve business will sort itself out like it did in 2013 and Bond Market would readjust itself, like it did in 2013, when QE continuation was in doubt in the media. These cycles will continue long after we pass. Cheers
