Sentences with phrase «economy determines interest rates»

It's important to understand that the state of the economy determines interest rates.

Not exact matches

That now leaves room for the market / economy to determine the proper rate of interest; and, he notes, given the patchy economic recovery, the fragile level of confidence and the low levels of inflation, Citi questions whether asset prices belong where they are today.

It fell to Yellen to determine when the economy was strong enough to begin inching up the interest rate and start reducing the bonds on the Fed's balance sheet.

Things such as the Bank of Canada Rate, unemployment, and the economy all play roles in determining interest rates.

The mortgage interest rate is determined by supply and demand, perceived risk of similar investments, and the general health of the overall economy.

Therefore, if the Fed determines that the economy is growing well and an interest rate hike will not overly curb growth, it will increase the federal funds rate to avoid prices rising out of control.

These analysts must first examine the current and future overall health of the economy as a whole and then attempt to determine the level of interest rates.

I submit there are NO valid price signals (P / B, P / E, TBV, etc.) to determine intrinsic value to aid capital investment while the Federal Reserve distorts the entire economy with: 1 - negative real after inflation interest rates and 2 — increases the monetary base by multiples with unlimitied quantitave easing for the bond market (ie; QE4 - EVA).

Because market timing decisions to buy and sell securities typically are based on an individual investor's market outlook, including such factors as the perceived strength of the economy or the anticipated direction of interest rates, it is difficult for a fund to determine in advance what purchase or exchange orders may be deemed to be associated with market timing or short - term trading activities.