Re:The U.S. Yield Curve Has Inverted
by taysic on Tuesday December 04, 2018 @02:27AM
(#18597106)
Why would rates go up in an economy that is getting better? Is it only because the Fed would increase rates in response to the improvement? In a free market, I imagine they would go down because people would trust the government's ability to pay back their bills and thus bonds would be more in demand?
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Re:The U.S. Yield Curve Has Inverted
by mathattack on Tuesday December 04, 2018 @06:51AM
(#18598562)
It’s not credit risk of the govt. It’s the govt raising rates to slow down inflation. (In a downturn, prices go down, so rates can be lowered without an inflation risk)