Fed Raises Rates in Highly Anticipated Move

(Capital Trading Group) Considering the FED’s efforts are essentially being offset by continued negative global interest rates, and continued asset purchases via the PBOC, BOJ and ECB, we wonder just exactly what the ultimate outcome will eventually be. Another and most often overlooked facet of each rate hike, is the fact that the Interest on Excess Reserves rises as well. As this next graph shows, the subsidy to the banking sector per annum now stands at $42.3 Billion in free money:

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