Wow a 25 basis points rise after massive printing of money and unprecedented debt creation. The Global capital markets are now so distorted they are actually celebrating the rise. At least for a day or two but don’t expect the rally to last !

A $4.5 trillion balance sheet when it was $800 billion pre-crisis. This is not a responsible Fed. It is a money printing Fed intervening in markets on an unprecedented scale. Time will tell whether the Fed engineered a real recovery or in fact sowed the seeds for yet another crisis. Printing money was the easy bit… extricating themselves out of the inflated balance sheet problem will be far more challenging. 2016 will likely be a very challenging year for US stocks as interest rates rises, emerging markets struggle and labour market pressures lead to a fall in profitability. 2016 will likely be a very difficult year for some tech stocks as many are now on very inflated values.

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