The feds were handing money out during covid to boost the economy and went into a lot of debt. If they increase interest rates their own interest payments will increase on all the loans they took out. The gdp to debt ratio will increase possibly higher than what we seen in the 90’s.
That together with real estate being one of the last major drivers of gdp in this country (since oil is out),i have a hard time believing the federal government is in any hurry to raise interest rates.
I don’t think the feds can afford higher interest rates or a cooling housing market at this point.
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