http://www.dailyreckoning.com.au/australian-interest-rates/2006/10/26/ An independent perspective on the Australian and global investment markets Sat, 21 Nov 2009 10:39:45 -0600 http://wordpress.org/?v=2.8 hourly 1 http://www.dailyreckoning.com.au/australian-interest-rates/2006/10/26/comment-page-1/#comment-9 » U.S. Economic Recession? » The Daily Reckoning Fri, 27 Oct 2006 05:44:34 +0000 http://www.dailyreckoning.com.au/australian-interest-rates/2006/10/26/#comment-9 [...] 1. This is not just a pause, but the end of all rate hikes. 2. In the absence of an overheating economy, inflation is yesterday’s issue. 3. Steady or lower interest rates will boost the stock market. 4. As the Fed no longer tightens, the possibility of a hard landing can be dismissed. 5. Abundant liquidity continues to underpin the markets.Treating bad economic news as good for the financial markets, Wall Street is running wild with more aggressive speculation. “The world economy is on track to grow at a 5.1% rate this year, but the risk of a severe global slowdown in 2007 is stronger than at any time since the September 2001 terror attacks on the United States,” said the International Monetary Fund in a report to finance ministers, mentioning two possible triggers: a sharp slowdown in the U.S. housing market or surging inflationary expectations that would force central banks to raise interest rates. [...] [...] 1. This is not just a pause, but the end of all rate hikes. 2. In the absence of an overheating economy, inflation is yesterday’s issue. 3. Steady or lower interest rates will boost the stock market. 4. As the Fed no longer tightens, the possibility of a hard landing can be dismissed. 5. Abundant liquidity continues to underpin the markets.Treating bad economic news as good for the financial markets, Wall Street is running wild with more aggressive speculation. “The world economy is on track to grow at a 5.1% rate this year, but the risk of a severe global slowdown in 2007 is stronger than at any time since the September 2001 terror attacks on the United States,” said the International Monetary Fund in a report to finance ministers, mentioning two possible triggers: a sharp slowdown in the U.S. housing market or surging inflationary expectations that would force central banks to raise interest rates. [...]

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