Posted on 05/08/2023 4:19:29 PM PDT by C210N
So, after more than ten years of almost 0.00% interest rates in the USA, people are moving their cash savings into investment grade debt that actually pays 4%-5%.
Why should that surprise anyone?
USA investment grade interest rates are STILL below the inflation rate in most cases, so it is just cash sloshing around the financial system.
Want further ruin confidence in the US banking system?, Just do it and find out.
No Big Deal!
Our communist masters know that the pathetically servile and indolent Aamerican people will just continue to roll over and spread their collective cheeks...
> If a company has payroll of over $100,000 in a week, it probably has done due diligence already.
Except for all those tech companies that had hundreds of millions in Silicon Valley Bank.
Or the banks can pay depositors a higher interest rate. They could do something called ‘compete’.
It’s already on the way:
The zero rate period was wallpaper of the fact we never left the 2008 recession. No reason to keep rates that low except to try to force consumers and companies to spend our way out of recession. Remember boys and girls that government deficit spending counts as GDP. The 12 years leading up to the scandemic was a giant hide the depression. It worked at the time when politics became more important, they decided to steal an election. For a potato !
Now it’s off the rails. When it turns it will be amazing fast. One day you will leave work early in order to beat the news and to get food and money and poof it is over. You will get neither. Police and military will be on the streets 72 hours later. That is how quickly it will turn. Be prepared, stock up on canned food. V
“So, after more than ten years of almost 0.00% interest rates in the USA, people are moving their cash savings into investment grade debt that actually pays 4%-5%. Why should that surprise anyone?”
exactly ...
Outstanding point.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.