# 75 point rate hike in July and September?

Barclays and Jefferies main economists expect the Federal Reserve to raise interest rates by 75 basis points both in July and September. This after the May inflation report fell out higher than expected. In hopes of countering inflation thes drastic rises of the interest rates are planned. But is that really a possible solution? I don’t think so, the current inflation is fuelled by the high energy prices and the shortage of commodities due to the war in Ukraine. Rate hikes won’t change a single thing about that situation in my humble opinion. But what will the consequences of these rate hikes be?


![img_0658](https://images.ecency.com/DQmPrAVQX8RwMGP4wAd4GbUdDbPuBFCu87AUJeWcWzYZTNo/img_0658.png)
*Jant Yellen can’t help it to be evil too*

# Housing bubble implosion?

Since 2008 housing bubble bursting, housing prices have risen well above the prices of that period. But a fast rising interest rate will once again bring loads of home owners into big trouble as their monthly payments will rise substantially and this together with the already sky rocketing energy prices. This mix is a recipe for another housing bubble to burst, and in consequence take down a lot of banks with it. As the prices will tank with a sudden dump of houses on the market.

It seems like the FED is steering into this situation purposely. I can not imagine that this scenario has not crossed their minds. 
Are they planning another real estate and banking crash by this? It sure looks like it!


Evil people at the helm of the FED, that’s for sure!

Sincerely,

Pele23