05/06/2015 – While the Federal Reserve remains optimistic on growth this year, the latest disappointing GDP report has put a coffin nail in any talk of an interest-rate increase before the fall — or maybe even into 2016. That’s positive news for safe havens like gold.
The sad truth is that despite six years of the Fed’s zero interest rates, first-quarter GDP avoided negative territory only because of a huge build-up of business inventories. Blaming the snow and bad weather, the Fed says it sees light at the end of the tunnel and that its targets are just around the corner. But it’s been consistently wrong in its forecasts. So, I doubt they are going to be correct now. Don’t believe them.
As far as I am concerned … read more