Posted on 04/05/2022 9:45:22 AM PDT by Browns Ultra Fan
When Federal Reserve Governor Lael Brainard speaks, markets listen
Federal Reserve Governor Lael Brainard said the U.S. central bank will continue to tighten policy methodically and shrink its balance sheet at a rapid pace as soon as May.
Brainard’s hawkish remarks sent bond prices crashing and 10Y bond yields up over 16 bps.
While Bankrate’s 30Y mortgage rate is down slightly today, the surge in the 10Y and 2Y Treasury yields could push mortgage rates above 5% by tomorrow,
Even Europe is feeling Brainard’s wrath. Italian 10Y sovereign yields are up almost 20 bps.
The NASDAQ index is down 300 points on Brainard’s utterance.
Gee thanks Lael from all us wanting to finance the purchase of a house.
Brainless and Brainard.
(Excerpt) Read more at confoundedinterest.net ...
Back in the day, before the give money away rates, I could get 12% Guaranteed Investment Certificates. Inflation was moderate and the market did OK. That was about ‘97/’98.
“but I’m thinking it is so bug it does not matter much anymore”
Correct.
The question is not if we default, but when.
It will be this decade.
Maybe we’re both stupid assholes:)
BIG of course and not “bug”.
Why do you think the default will be this decade?
I think it will be so eventually but not sure when. Eventually you can’t pay the interest. Just not enough money in circulation unless you just go print some more.
It all seems like a huge Monopoly game to me. Eventually enough of all the money goes to a few pockets and just sits there and nobody else can buy. That has always been my vision of the Depression. Simple yes but not too far off I think.
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