Long-term interest rates have been falling since the summer, most likely as investors came to terms with the risk of a slowing economy, domestic economic imbalances and the knock-on effects of persistent inflation. … READ MORE >
Term premium
Market Minute: What’s keeping interest rates so high? The risk premium.
The market appears to be pricing in the possibility of additional rate hikes should inflation continue to increase as tariffs are implemented. … READ MORE >
Market Minute: Term premium rising as Fed independence at risk
Trade shock has turned into financial shock in the form of a rising term premium as investors unwind risk and diversify away from dollar-denominated assets. … READ MORE >