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Companies are borrowing because rates are low and Treasury curves are flat. Why not borrow? It's much better to lock in long-term financing now so if/when liqui
by whatok 7y ago
Companies are borrowing because rates are low and Treasury curves are flat. Why not borrow? It's much better to lock in long-term financing now so if/when liquidity dries up you aren't forced to roll over short-dated debt.
- TheHypnotist 7y agoYes the article touches on this. But goes on to also say that this could be really bad in a crisis or this could be no so bad in a crisis depending on who you talk to and why.