Welcome Guest

That is a central planning answer

Posted on: December 13, 2022 at 13:44:07 CT
meatiger MU
Posts:
126562
Member For:
25.70 yrs
Level:
User
M.O.B. Votes:
0
Why did mortgage rates go up? Simply because the Fed (central planners) forced it up, not because bank all of a sudden thought the risk was higher. Banks simply (as you said) took the rate (actually forced to take) the Fed set.

In a market situation, rates would likely revolve around a few things.

- Risk/return
- Alternative investments on a relative basis
- The general cost of borrowing money

What we have today is rates all revolve around a singular number put out by the fed, balanced by how much cash they pump out too.
Report Message

Please explain why this message is being reported.

REPLY

Handle:
Password:
Subject:

MESSAGE THREAD

market interest rates - meatiger MU - 12/13 11:06:29
     I'll give you an answer - JimD MU - 12/13 12:28:50
          That is a central planning answer - meatiger MU - 12/13 13:44:07
               One and three are true and inherent in my explanation - JimD MU - 12/13 16:45:05
          that isn't what he asked (nm) - ashtray UF - 12/13 12:36:52
               It is what he asked - JimD MU - 12/13 16:39:47
               And yet you haven't answered(nm) - tman MU - 12/13 13:36:15
                    I thought your answer was sufficient - ashtray UF - 12/13 14:24:31
                         I almost always discuss, but I am good with this one(nm) - tman MU - 12/13 14:57:46
     Doubling down on stupid today I see(nm) - tman MU - 12/13 11:15:38
          Do you actually discuss anything on here?(nm) - meatiger MU - 12/13 11:17:06
               Yes. There is a simple answer and you already know it - tman MU - 12/13 11:44:34
                    I get that - meatiger MU - 12/13 13:39:14
                         That depends on the two parties involved - tman MU - 12/13 14:58:44
     BOAISY(nm) - dangertim MU - 12/13 11:10:01




©2024 Fanboards L.L.C. — Our Privacy Policy   About Tigerboard