Rising Rates

 While interest rates have been profoundly low until quite recently, the winds of change are coming. The Fed is beginning to meaningfully reduce its balance sheet, and large federal deficits are starting to appear, both of which will increase the supply of Treasuries. Add to that a steadily weakening dollar, the expectation of faster GDP growth, slowly rising inflation, and slightly faster wage growth, and higher rates seem inevitable.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.