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I think everyone would like for them to go up, but I haven't seen any real reason why it might happen. The rich world has been stuck in very low interest rates
by JimboOmega 10y ago
I think everyone would like for them to go up, but I haven't seen any real reason why it might happen. The rich world has been stuck in very low interest rates for a long time.
(Edit since I'm fixing a typo: Look at the treasury yield curve. Has it gotten steeper, which would indicate an expectation of rising rates? No. The 30 year rate has been falling the last few years.)
- iofj 10y agoBloomberg had 2 large bank executives complaining very publicly on the low interest rates and advocating having the FED raise rates over the weekend. Here's one, I can't find the other: http://www.bloomberg.com/news/videos/2016-08-19/macquarie-s-shvets-fed-should-move-quickly http://www.bloomberg.com/news/videos/2016-08-19/macquarie-s-... Lots of pension funds have been destroyed (but the Fed doesn't care, and the ECB even less), and banks are not far behind. Soon the choice will be raise rates or face bank bankruptcies. My money's on that they'll raise rates and just let the many, many over-indebted companies refinance or go bankrupt.