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Is the government losing control of interest rates?

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ticker lesson

Breakdown

0:00lesson

Interest rates are political

  • Interest rates have been political my entire life
  • Government losing control of long-term rate
  • Fed's role as currency protector
  • Higher rates = weak bond market
  • Yields compete with dividend yields
0:01housing· ticker

Housing market weak with higher rates

  • Weak housing market likely
  • Higher cost of capital
  • Yields compete with dividend yields
0:02equities· ticker

Equities market weak with higher rates

  • Weak equities market likely
  • Yields compete with dividend yields
  • Higher cost of capital
0:03gold· ticker

Gold impacted by interest rates

  • Gold difficult to trade with high rates
  • Higher rates = harder for gold
  • Yields compete with dividend yields

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