Week of 6/23/2006 ends down because of Fed
June 23, 2006 – 5:40 pmIf you're new here, you may want to subscribe to my RSS feed. Thanks for visiting!
The Fed has helped keep stocks in check this week. Investors continue to be worried about another rate increase and how it would affect their investments. The possibility of the rates going up again quickly is striking fear in the hearts of many.
“Interest rates are the focus today,” said Peter Cardillo, chief market strategist with S.W. Bach & Co. “Durable goods is a volatile number and can be somewhat erratic. We still have concerns about an economic slowdown, which is a dark cloud over the market.”
The story hasn’t changed much in recent weeks. Fears of an economic slowdown are constant due to high fuel costs and increasing interest rates. The damage that a truly high interest rate environment could do to a consumer driven economy is intense. Consumers are maxed to the hilt with debt on their credit cards and having progressively tougher times re-financing.
Many companies are doing very well now, so they’re worth taking a look at. Any company who benefits from rising interest rates could be a good bet. It’s worth investigating REITs that invest in apartments. The demand for renters will be much higher in the coming years.
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