For many Of us, it can be a true mystery as to why interest rates are constantly fluctuating.
We are here to make understanding these constant changes simple and easy to understand.
Here are the top issues affecting interest rates:
When the 10-year note (or T Note) when it gets negative - this means rates will get better. This may sound complex, but in simplified terms a negative ten year means the investor lost money when the bond matured.
When positive, it gets worse. In this instance, there is a time value of money, where money today is worth more than money tomorrow.
Consumer confidence: This can play a significant role as consumer confidence impacts consumer spending, so when demand is high prices fluctuate.
US Labor Reports: If job employment is high this can play a role in consumer confidence and spending, so each component is intertwined to impact interest rates.