Interest Rates Are Rising.....

Think worldwide economics don't effect us locally? Those days are gone. Unfortunately... Due to international pressure on Treasury Bill and Bond pricing, the Fed is pulling out of the mortgage interest rate stabilization game April 1st. April Fool's Day. How appropriate. Rates will raise 1/2 - 1% very quickly. Probably more over the next few months after that. Then does the Fed get back in the game when home sales tank? Enquiring minds want to know. The only certainty is that these rates are not going to stay this low. Inflation around the corner? Not until unemployment gets back under control because the demand will not be there to drive up prices at any point in the supply chain. The only wild card is foreign oil pricing. About time for them to cut supply to drive up prices. California is considering relaxing its very stringent environmental controls which are driving business away. Watch this trend escalate. Think the Chinese are going to drive up their prices by putting very modest pollution controls in place? Probably not in our lifetime. We can't compete with those without regulation, reasonable wages, employee benefits, etc.