[expat_panama]

I predict that it will be decades before it gets back up to the 6% range again.

That's crazy.  For years now all the signs are for rates soaring in just a few months!!

[Alberta's Child]

Maybe foreign investors should demand higher rates for U.S. government debt, but I believe several things are going to keep rates down for a long time:

1. Nobody is going to borrow money in the U.S. at higher rates. Business activity will literally come to a standstill.

2. Higher rates will depress the value of heavily-leveraged assets like homes.

3. With 93 million working-age people in the U.S. out of the work force and Baby Boomers retiring en masse, we're actually looking at a deflationary environment here in the U.S.

4. There is no need for foreign investors to demand a premium for U.S. government debt because we'll be seen as a safe currency for the foreseeable future.

[PLMerite]

Didn’t they try to raise the rate by a tiny bit a few months back and it bombed?