The Feds what is next?

We’ve reached a juncture in the credit markets where it really doesn’t matter how low interest rates go -- banks are refusing to lend and consumers either have no desire to borrow – or they are in such troubled financial straits they can’t meet the qualification criteria for a loan. So what’s the Fed to do? Many believe the Fed will announce in their post-meeting statement tomorrow afternoon (2:15 p.m. ET) that the answer to rekindling economy growth is actually quite simple – print money like crazy. In a nutshell the idea here is that by flooding the economy with money – banks will ultimately find themselves bursting at the seams with capital – and they will essentially have no other option than to start lending. As the short-term credit market swings back into action, business confidence will rise, employment will improve and the engines of commerce will roar back to life.

Lisa WarrenBranch Manager 751 E Southlake Blvd Ste 100Southlake, TX 76092