Financial Update by Maurice Soussé

Interest rates are down a touch today as the 10 year treasuries eased a bit today. Next week we have a number things coming at us including the jobs report on Friday and auto sales on Tuesday.

While we see the FED wanting to raise rates today if they could, the market reports continue to hold them off as indicators are still week in some segments. A sudden rate increase could push the economy back into a recession.

Sometimes it is better to deal with the elephant in the room. Everyone knows rates are going up soon. Would a .25% increase to the FED rate create a crisis? Most analysts say no. I think it would get the inevitable out of the way and show everyone the world won’t end and the markets won’t collapse. If they raised the rate the slightest bit, they could then stop the talk of rate increases and just sit back and let the markets adjust. It’s right around the corner, so we all must prepare for it.

Remember Any Rooney on 60 minutes? I always loved his commentaries. He said “I didn’t get old on purpose. It just happened. If you’re lucky, it can happen to you.”