FED Raises Interest Rates by 0.25% – Gold and Silver Rise prior to the Announcement

Welcome to illuminati silver, we tell you
the truth about silver. Today is Wednesday 16th December 2015 and
we are briefly covering the FEDs announcement that it has raised interest rates by 0.25%
After two thousand, five hundred and fifty six days of record low interest rates, the
US Federal Reserve has at last raised interest rates by 0.25%
“Given the economic outlook, and recognizing the time it takes for policy actions to affect
future economic conditions, the committee decided to raise the target range for the
federal funds rate from ¼ to ½ percent,” the FOMC’s post-meeting statement said. “The
stance of monetary policy remains accommodative after this increase, thereby supporting further
improvements in labor market conditions and a return to 2 percent inflation.”
Many market commentators have predicted this rise. In fact, earlier today, Michael Gapen,
Barclays’ chief US economist, said that the Federal Reserve’s goal is to raise interest
rates and avoid causing any market turmoil. Speaking on Bloomberg TV, Gapen said the Fed
has a “very real and very tangible” fear of spooking investors.
Jack Welch, the former boss of General Electric, stated on CNBC today, that rates should have
been raised three months ago – before the rout in the commodity market got underway:
He added: “It would have been better to go last time actually. Conditions were better.
The economy is not any stronger. The commodities have gone further down.”
Until now Policymakers have been at pains to stress that their actions were dependent
on the state of the economy. The most recent bulletins from the labour market which showed
211,000 jobs created in November and inflation (a core measure hit 2 per cent last month)
gave officials the extra confidence they needed in order to move rates higher today.
European stock markets having already closed before the announcement were made and it shall
be very interesting to see their reaction when they re-open tomorrow.
The Dow Jones Industrial Average Index jumped 160 points in early trade, fell back and rose
slightly on the announcement and is currently standing at 17,625 up 101 points on the day
so far. Both gold and silver rose prior to the announcement
up 1% and 2.5% respectively and at the time of this video gold stands at $1070 and silver
at $14.19 So what do we make of this? Well, the rate
rise was expected. Despite what Peter Schiff and others claimed that there was no way the
FED could raise rates – they have been proven wrong. Yes to some degree they were backed
into a corner. The dollar is slightly up on the day, though traditionally when rate announcements
have previously been made, the reaction has ironically been to fall slightly. We shall
no doubt see a little turmoil for a couple of days, but we hold fast to our view that
the short term trend for gold and silver is still down from these levels.
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bulletins and offers in the future. Disclaimer: Illuminati Silver owners come from a background
of Banking, International Wealth Management and Economics. Having now retired from these
worlds we are not qualified to give investment advice. Therefore, this and other productions
must not be deemed to be giving such advice and merely represent the personal views of
its owners.

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