Monday, October 28, 2013

Interest Rates

When certain bonds go up...interest rates go down...not the other way around.  It really irritates me, to hear somebody say, that interest rates control bonds.  That is like saying, the tail wags the dog.  When it comes to interest rates, there is a CAUSE and EFFECT.  Bonds are the 'prime mover' and interest rates are the 'result'

Right now, it looks like the rate on the 10 year will go to about .02% and will then go back where?  Don't know.

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