Interest Rates

In response to the spin machine called the National Association of Realtors ('NAR'): As Chief Economist of the NAR, this is my mid year update. The housing market is making mild progress. However, the massive headwinds are still out there. Even with historically low mortgage rates the...

The People's Bank of China cut its benchmark lending and deposit rates. China lowered the 1-year yuan lending rate to 6.31% versus 6.66% and the one-year yuan deposit rate to 3.25% versus 3.50%.

This week, five central banks are set to report their interest rate decisions and Chairman Ben Bernanke is set to testify on his economic outlook. This a full calendar, and with traders, investors, and analysts alike clamoring for some form of added liquidity, it is interesting to see what moves...

Australian & New Zealand Banking Group Ltd (OTC: ANZBY) lifted its standard variable interest rate. ANZ raised interest rate by 6 percentage points to 7.36%. ANZBY shares closed at $23.50 yesterday.

Krung Thai Bank PCL lowered its interest rate on savings accounts by 12.5 basis points. Krung Thai Bank also cut its several key lending rates by 12.5 basis points.

So we've told you how to save...now what?   1. Look to municipal bonds. High quality munis, at 2 1.2% tax free versus nothing in the bank. Bonus! Plus, if you buy municipal bonds in your home state, interest may be tax exempt not only on the federal level, but on your state’s income tax too....

There is an interesting relationship between the “risk-free” rate (t-bill rate) and the benefits of diversification. When rates are close to zero, the risk reduction benefits from low or anti-correlated assets can offset the requirement for those assets to have a sufficient expected return to make...

My long-time friend and mentor Seymour Schulich forwarded an email to me that puts today's U.S. government debt mountain startlingly into context. By removing several zeros, one can place the debt situation in terms we all can understand—that of a family's income and expenses. A family who takes...

Mr. Bernanke had his second interview with 60 minutes on Sunday, right before the interview of Mark Zuckerberg, CEO and founder of Facebook. It's hard to tell who is more powerful these days: one who commands the monetary policy of the US, or one who is actively shaping the ways we interface and...

The Bank of Japan is following the moves of the United States. Japan's central bank cut interest rates on Tuesday and promised to keep rates at zero until asset prices recover. Interest rates had been held steady at one tenth of 1% for the past 2 years. The Bank of Japan will also start purchasing...