Negative Interest Rates

Negative Interest Rates

How low can rates go? The Bank of Japan (BOJ) dove into the negative interest rate rabbit hole last week when it dropped its benchmark interest rate to minus 0.1 percent. If you’ve been following Japan’s story, then you know the country has been struggling...
When Will The Fed Raise Rates?

When Will The Fed Raise Rates?

When Will The Fed Raise Rates? So, when exactly is the Federal Reserve going to increase the rate for overnight borrowing that they have held at the zero bound for 5 years (and counting)? It’s a question that has plagued bond investors throughout the first quarter of...

Weekly Perspective – June 30, 2014

The Markets Last week, the U.S. Department of Commerce delivered news that was about as welcome as a report of a great white shark sighting off a popular beach during the Fourth of July holiday. The Commerce Department’s third revision of its estimate for economic...
The Long-Term Affect of Low Interest Rates

The Long-Term Affect of Low Interest Rates

How Have Low Interest Rates Affected Economies, Governments, And Individuals During The Past Few Years? Late last year, McKinsey & Company released a report that took a closer look at “the distributional affects and risks” of quantitative easing (QE)...

Is There a Bubble in the Bond Market? June 18, 2012

IS THERE A BUBBLE IN THE BOND MARKET? As you know, interest rates are near record lows and that hurts savers who were used to receiving relatively high and mostly risk-free income on their savings. For example, back in 2007, 10-year Treasuries yielded about 5 percent,...