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Politics : View from the Center and Left -- Ignore unavailable to you. Want to Upgrade?


To: ryanaka who wrote (378006)7/23/2018 1:31:01 PM
From: Sun Tzu  Respond to of 542963
 
You are looking at it from the wrong end.

Rising rates are a reaction, not a cause. When the economy is doing well and the confidence is high, there is more demand for debt which naturally results in the price of borrowing (i.e. interest rates) to go higher.

This is the only lens through which you should look at, unless you are a bank. If you are a bank, then you will also try to read the tea leaves and speculate as to where the overnight rate is headed and take that into account.