Anze Kozjek
πŸš€ Interest rates are SKYROCKETING. The 10-year note yield is ~ 4.70% and mortgage rates on their way to 8%+. Since the FED started cutting rates, interest rates are up more than +110 basis points. This has NEVER happened before. So, what's next? 🏦 Even though the FED started cutting rates, the yield on the 10-year note, which serves as a baseline for mortgage rates, just keeps going up. This is happening because investors are expecting higher inflation and are not willing to buy US debt at lower rates. When the interest rates are high it makes borrowing more expensive, affecting the general economy. Meanwhile, the reverse repo account is at July 2020 levels and debt levels rising at an unbelivebale pace. All of this suggests the FED will need to soon step in, not only lowering the intrest rates, but also start buying bonds. I expected higher volatility in the next months, but the FED will eventually need to start the money printer. We are going to see assets perform very well in the coming months and years, especially $BTC and $GOLD . $SPX500 $SPY (State Street SPDR S&P 500 ETF)
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