Federal Reserve Interest Rates: A Sure-Fire Hike on the Horizon?

For the past six months, many online trading specialists such as those affiliated with CMC Markets have been speculating on a potential interest rate hike by the United States Federal Reserve. Although some were calling for such an increase as early as November, it is no surprise that the tumultuous election results have delayed this action. Now, it appears all but certain that Janet Yellen will announce this hike during the upcoming 14 December meeting. Why are analysts confident in such an outcome and what will this (potentially) signify for the electronic trading community as a whole?

Inflationary Data

From a purely technical point of view, the United States job market has seen significant improvements throughout the 2016 financial year even if recent figures may indicate a bit of a short-term slump. Perhaps more importantly, Mrs. Yellen pointed out that inflation has started to pick up pace (1). These tend to be the two historical conditions which indicate that a rate hike is not far off. Unless some drastic economic data emerges during the next three weeks, it is perfectly reasonable to assume that this action will go forward as planned.

An Independence Issue?

While the technical factors behind such a move are clear, astute online traders need to appreciate some other causes which may not be as explicitly stated. It is no secret that soon-to-be-president Donald Trump has been a sharp critic of the big banks. This has no doubt fed into the increased likelihood of such a hike. Mrs. Yellen rightfully pointed out that politics and banking do not necessarily mix and that countries which saw an intertwining of the two had experienced “terrible” consequences in the past.

Federal Reserve Bank

The main concern is that Trump will try to reign in the power of such institutions. Although this may be unprecedented in recent years, the fact that he has already sharply criticised Mrs. Yellen for her handling of the economy could signal that troubling times lay ahead for larger financial institutions. So, an interest rate hike on 14 December might also be interpreted as a move to bolster the economy and strengthen the argument that the government should not overtly meddle in financial policies.

A Dangerous Example?

There have always been concerns that a Trump victory could free up paths for other conservatives in the United Kingdom to gain ground. When Ed Balls (former Shadow Chancellor) recently called for the independence of the Bank of England to be curbed to address what he called “growing discontent” (2), we have to wonder if an interest rate hike within the United Kingdom is not far off. However, the one solid argument against any such move is that the government will not want to “rock the boat” after the recent referendum.

Online Trading Implications

It seems a rather safe bet at this point to assume that a rate hike initiated by the United States Federal Reserve is indeed in order. So, what does this mean for the average online trader? In order to appreciate the implications, it is important to look beyond the immediate impacts of the hike itself.

Although there is no doubt that this move makes a great deal of sense from the point of view of the domestic economy, it is just as critical to realise that a hike is likely meant to (partially) quell jittery market nerves between 14 December and when Trump is officially sworn into office. There are many who have already grown sceptical in regards to the officials being appointed to senior posts within his new cabinet. Perhaps more worryingly is that as of yet, he has still not outlined how he plans to tackle the domestic economy. These actions (and inactions) have investors worried. So, a rate hike could represent at least a temporary means to allay such concerns.

We should therefore look for a short-term rally on the dollar immediately after the announcement of the rate hike before its value somewhat levels off during the holiday season. As for what will occur once Donald Trump is sworn into office, it appears as if we are truly entering into uncharted territory.

10 Tips to Lower Your Car Insurance Cost with Complete Risk Coverage

Car Insurance coverage is legally an unavoidable plight for most car owners and drivers. In the USA, all road-going vehicles are required to have auto insurance to ensure safeguard against accidents or other financial exposures. However, it comes at a cost not everyone can afford.

Many drivers avoid buying car insurance or filing minor or even major claims after an accident. The scenario can be broadly explained as – due to high insurance cost, 1 out of 8 motorists choose to drive uninsured, and many even consider canceling their car insurance in order to afford other expenses. With fluctuating economic conditions, people are trying to keep their costs as low as possible. However, in the absence of such auto insurance in Rochester NY, consumers are more exposed to risks and accidents.

There are several alternative options for low-income drivers and owners who are just trying to make ends meet. InsuranceTrak offers the widest selection of auto insurance programs at greatly discounted prices to help people from hitting the road uninsured. We have many useful suggestions consumers can use to make their insurance premium more affordable.

Tips to Lower Your Car Insurance Cost

Listed below are some of the things you can do to lower your auto insurance cost in Rochester, NY.

Tip 1- Check the market value of your car against the amount you are insured for – Ask your insurer to adjust the premium cost in accordance with the market value of the car to account for depreciation.

Tip 2- Choose a higher Deductible – Being willing to pay a higher deductible reduces your monthly premium. But, keep in mind the repair cost of an accident or any physical damage can be very high and costly.

Tip 3- Installing safety equipment – Get your car a new tracking device or alarm system. This will improve your car’s security, and may get you a discount on your policy. Once the tracking device is installed, inform your insurer and request a revised quote.

Tip 4- Have a good driving record – Driving records count for a policyholder. Drivers who are younger and have less driving experience will be charged insurance fees. Get a certified driving training course to build your driving record.

Tip 5- Do not make claims too often – Auto insurance claims, if made too often, will result in higher premiums. Claiming minor damage on your policy will drive up your premiums.

Tip 6- Keep your details updated – If you have moved to a different location in the same state, update your personal details within 24 hours. This may assist you in dropping your insurance premiums.

Tip 7- Choose your car wisely – In general, buying a high-performance car means greater risk to the driver and the car. So, high-performance cars call for higher premiums and more coverage. Just like anywhere else in the country, this applied to your auto insurance in Rochester NY.

Tip 8- Compare Insurance Quotes– Car insurance premium costs vary from company to company, so it pays to shop around. You can call InsuranceTrak to receive a comparison report by major insurers. Pick a company from the list that is financially stable with good ratings. Ask your friends and relatives for their recommendations.

Tip 9- It’s better to combine your household and car insurance together – A joint insurance policy of your home and car insurance can offer many benefits. You may have lower monthly premiums and maximum insurance coverage. Buy your homeowners and car insurance from the same insurer.

Tip 10- Maintain continuous car insurance history – Too much disruption in your car insurance history might increase your premiums. Maintaining continuous auto insurance coverage may help lower your costs over time.

The key to saving money is now in your hands!

Do Your Homework To Get Affordable Car Insurance

Car insurance prices can seem staggering these days, and with so many of us under tight budgetary constraints, let’s face it, they are. Trying to find an insurance policy that gives you the coverage you need at an affordable price is complicated, but it is too important to leave up to chance. You need to do your homework and make sure you find a policy that works for you.

You put a lot of time and effort into shopping for your car, why wouldn’t you do the same when it comes to insuring it? Every state requires auto insurance, so there is no getting around it, but that doesn’t mean that paying for insurance should put you in the poor house. There are many different types of policies and insurance companies so your options are numerous.

Homework To Get Affordable Car Insurance

This in itself can be confusing, adding to the stress of dealing with auto insurance costs. But fortunately, you can easily compare and contrast the various options through websites designed specifically to provide information on auto insurance to consumers. This is the simplest way of getting through the auto insurance jungle and finding the perfect policy at a rate you can afford.

So, how much does auto insurance cost? The answer can be complicated as there are many mitigating factors that can all influence the bottom line. You may opt for Comprehensive insurance or just Liability; you could add in Uninsured Driver or Under insured Driver coverage or choose to forgo them. The type of coverage you choose can have a major impact on the cost of your policy.

There are many personal factors involved as well, some of which you can adjust to help lower auto insurance costs. Obviously, things like your age can’t be controlled, but the number of people covered under your policy, the place where you live and your driving record are all factors that you can control and making adjustments to them can make a big difference when it comes to cutting costs.

Easily the biggest mitigating factor in terms of auto insurance rates is the type of car you drive. Insurers can vary coverage widely depending on the age, condition and type of car. A car kept in good condition will be easier to insure and makes that are more reliable may be cheaper to insure than sports cars. This will depend on the individual insurer, but you can compare and contrast before choosing a policy so that you find one that fits you.

While car insurance prices are not always easy to figure out, they don’t have to run you into the ground financially. By taking your time and comparing rates from different insurers, you can be more prepared and better able to fit your insurance costs into your budget. Some insurers even offer special rates or types of policies to help make insurance more affordable for all drivers.

No matter what you do, be sure that you don’t take shopping for auto insurance lightly. Give it the time and effort it deserves because your budget may depend on it. With the right policy in hand, you can rest easy behind the wheel knowing you aren’t driving yourself into financial ruin.