Greenspan's Rates of Wrath

The Fed jacks up borrowing costs, but the move is too much for Main Street and not enough for Wall Street

I used to think if there was reincarnation, I wanted to come back as the President or the Pope or a .400 baseball hitter. But now I want to come back as the bond market. You can intimidate everyone.

--James Carville, Clinton campaign strategist

But even bullies get the blues. In fact, last week may prove that the redoubtable bond market suffers from a permanent case of existential fretting. From his temple-like headquarters in Washington, Federal Reserve Chairman Alan Greenspan offered up to traders what they had been counting on: he raised short-term interest rates on Tuesday by the largest amount...

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