Different Minds: 1st Edition

Barring a massive change in the economy I expect we’ll see an increase in the Fed Funds Rate up to 0.75%. The economy can absorb the rate hike because in all honesty we’re still talking about near all time low interest rates even with a hike. Maybe it’ll curb the enthusiasm of many of these companies from taking on debt just because it’s cheap although that’s likely wishful thinking. I think the Federal Reserve bankers will try and gain any bit of flexibility to boost the economy should the economy start contracting, which we’re due for it to happen based on history. Right now their hands are kind of tied to immediately jumping into further QE via bond purchases or other asset purchases because they don’t have much room to change the interest rate.
JC from Passive-Income-Pursuit.com

There has been so much rate hike chatter for well over two years that I’m surprised I do not see odds being placed in Las Vegas on the matter. I am not a believer of any words that comes out of our federal government, especially the Federal Reserve Bank chair. I feel the U.S. economy is still very much on shaky ground and a raise in interest rates is not imminent. With the whole world desperately trying to stimulate growth with lower interest and even negative rates it just shows that our global economy, of which we are a part of, is too weak sustain any meaningful raise at this time.
Keith Park from Divhut.com

I think a rate hike this year is unlikely. If one occurs, though, I think it will happen in December after the elections. The Fed is in a precarious position. They have to signal the possibility of a rate hike to inhibit excessive risk taking. They have to counteract a growing sense in the market that the Fed lacks a credible plan for interest rate decisions. They have to weigh the impact of a rate hike on the growth of employment, output and demand, especially in view of stagnant productivity and the economy’s dismal current growth rate of 1.6 percent. They also have to consider the world context of low oil prices, China’s slowdown, Brexit, zero or negative interest rates, and the strength of the dollar. Given all of these challenges, I think the Fed will have no choice but to delay any interest rate hikes until next year.
FerdiS from DivGro