Financial Update by Maurice Soussé

We had a roller coaster week with interest rates. Blind sided is the word that comes to mind as the FED minutes released on Wednesday stated that “most participants judged…it likely would be appropriate for the Committee to increase the target range for the federal funds rate in June” Well…Let’s analyze. Japan= Negative Rates. Eurozone = Negative Rates. Switzerland = Bank Schweiz AG is charging their large portfolio clients to hold cash.

The US economy is stable. We are the gem of the world showing stable growth; not increasing growth. Most economists feel another rate hike at this point could send our economy back into a recession. The FED made it clear that they will consider raising rates in June. The U.S. Consumer Price Index fell in April. Core inflation has declined the last two months. If these trends continue, the FED is less likely to hike interest rates.

The bottom line to all of this is that rates are great!! They are so low and may be near bottom. It is a great time heading into the spring and summer months for borrowers to take advantage of such an opportunity.

Spring is a time of rebirth. W. Clement Stone said “I think there is something more important than believing: Action! The world is full of dreamers. There aren’t enough who will move ahead and begin to take concrete steps to actualize their vision”. Stop and analyze your plan. Do you have it written down? Do you read it often? It’s the only way you will fulfill your goals.