Thursday, August 1, 2013

Long Term US Interest Rates Hit Two Year High

Long-term interest rates are on the climb again in the United States. Below is a chart showing the interest rate of the 10-year Treasury note since June, 2011.  The rate hit a 2-year high today. This despite Fed bond purchases. In the EPJ Daily Alert, I have forecast that this is the start of a multi-year climb in rates. Despite absurd comments by members of the Fed that price inflation is below target, the MIT billion prices index shows price inflation is above target at around 2.5%. Buckle your seat belt.


  1. Just an FYI to everyone who doesn't have the Daily Alert: My relatively new 12 month subscription has already paid for itself literally many times over due to the advice that Bob gives.

    It's worth every penny.

  2. The interest rates might have reached to a two-year high, but historically, they are still at lower levels. What this news may do is that it will make some would-be home buyers to reconsider their decision. What is also worth noticing is the fact that this spike comes on the back of hints that the Federal Reserve might reduce its purchasing of bonds. Whether Fed’s decision will have a further impact on the long term interest rates needs to be seen.