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While today's economic data "had a less-rosy tint than of late," says MarketBeat, it is helping...

While today's economic data "had a less-rosy tint than of late," says MarketBeat, it is helping the Fed achieve its goal of keeping yields down. Those for 10-year Treasurys are -4 pbs to 2.16%, illustrating the Fed’s conundrum: "Any acknowledgement of improvements risks sending yields higher, which would then choke the recovery."
Comments (5)
  • Stoploss
    , contributor
    Comments (1727) | Send Message
     
    Catch - 22

     

    Excellent work Ben.
    29 Mar 2012, 11:55 AM Reply Like
  • drekon
    , contributor
    Comments (183) | Send Message
     
    choke the recovery? really? how does a 10 year rate of 2.5% or even 3% affect anything in this recovery? refinancing? oh, that's right - banks still want 30% equity and appraisers are a joke.

     

    can we discuss the impact that artificially low rates have had on food and energy costs - the real drags on consumers?
    29 Mar 2012, 11:57 AM Reply Like
  • Tony Petroski
    , contributor
    Comments (6373) | Send Message
     
    As Alice was told by her economic advisor, the Keynesian Kangaroo: "any hint of recovery could choke off the recovery."
    29 Mar 2012, 12:01 PM Reply Like
  • montanamark
    , contributor
    Comments (1436) | Send Message
     
    apparently his goal is to also keep the middle class down; zero rates for big banks to play the spread and speculate and zero savings for savers;
    29 Mar 2012, 12:04 PM Reply Like
  • Poor Texan
    , contributor
    Comments (3533) | Send Message
     
    And a gutting of the savings of retirees who can no longer count on any income from their savings. But then, if they continue to cut back their buying, there will be no need for new investment and interest rates can remain low.
    29 Mar 2012, 05:09 PM Reply Like
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