Not exact matches
I don't know exactly what's going to happen, but simple math based
on the
current level of
interest rates leads me to believe that these risk premiums will be much wider in the future over longer time frames than they've been in the recent past.
The difficulty for the ECB in managing market expectations
on monetary policy in the face of stronger economic growth was evident elsewhere in President Draghi's remarks, as he repeatedly stressed the need to keep the region's
interest rates at
current levels while the central bank winds down its QE program.
Long - term
interest rates are largely a function of the effect the bond market believes
current short - term
interest rates will have
on future
levels of inflation.
In their
current form, the
interest rate levels for the various types of federal student loans are based
on the yield of the 10 - year Treasury Note auction, plus an increment.
If a borrower can document to a FHA lender that reducing their
interest rate to a competitive
level of today's
current FHA
rates will increase the likelihood of them paying their mortgage
on time, then the lender should approve the mortgage refinance and move
on — Isn't that what a loan modification is any way.
Based
on this perspective, the only way the market is not substantially above sustainable valuation
levels is if
current long - term
interest rates permanently remain at these
levels.
This means that
interest rates on subsidized loans made
on or after July 1, 2013 will double from the
current level.
More importantly, says a Harvard study, «The
current rate spread is an important influence
on mortgage choice, as would be implied by a model in which borrowing - constrained households seek low
rates in order to maintain the
level of
current consumption, or to increase the size of the house they can buy when constrained by bank limitations
on mortgage
interest - to - income ratios.»
Mike Piper from Oblivious Investor presents Benjamin Graham
on Asset Allocation, and says, «Should your asset allocation depend at all upon
current interest rates or stock market price
levels?»
A
current question that is asked of me
on a daily basis is, «Should I buy an annuity at these low
interest -
rate levels?»
I read an
interesting article from some researchers in NC who had found — locally — that there had been no sea
level rise until ~ 1970 (don't hold me to the date) and that the
current rate was
on the order of 8 - 10 inches / century.
Universal life offers insurance protection until your death, with guaranteed premium
levels and tax - deferred benefits that are based
on current interest rates.
Right now, we can use the tax credit (which expires
on April 30), forthcoming
interest rate increases due to the Federal Reserve ending their program to purchase mortgage - backed securities by end of March, the
current low inventory
levels in most marketplaces, and the phased - in changes of FHA mortgages between now and summer to emphasize the importance of acting immediately.