Tuesday, 2 June 2009

US long term interest rates keep rising

Since the beginning of the year, the yield on 30 year US treasury bonds has risen 165 basis points. That is the equivalent of 7 traditional Fed rate hikes.

That is what you get with a trillion dollar fiscal deficit - higher long term bond yields.


Seema said...

A sign of things to come.

Anonymous said...

The US government is 'fighting' interest rates.

Working so far?

Charles Kiting said...

I'm sure Volcker told this to Larry Summers and was promptly put out to pasture.