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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 421.63-0.1%Jan 13 4:00 PM EST

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To: bart13 who wrote (133369)4/29/2017 4:57:05 PM
From: John Vosilla  Read Replies (1) of 219326
 
10 year risk free rate sets base for discounted cash flow models used by financeers, RE analysts and portfolio analysts to value a cash flowing asset? Add risk, illiquidity and inflation premium??


Nice spread between short and long term rates gives the banks huge profit margins??

If we have a flat/inverted yield curve at say .75% fed funds shit will hit the fan as asset values probably way overvalued with extended multiples heading into the oncoming credit contraction/asset collapse/downward spiral? Not quite what theAnt is saying but close enough...lol

Biggest question for me besides is at what rate will the curve eventually flatten out?
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