More on rates

People are seriously confused. While most economists still see long-term intereset rates rising towards 5%, other predict yields as low as 2.5% in the fairly near future. To get a feel for this, be sure to check out this column. As was to be expecteded, history has been dragged into the debate. Many analysts are now arguing that high rates (meaning above 10%) are an aberration, since they were very low before the inflationary 1970's. (Which does not really mean anything, since the world today bears little resemblance to times past.)

This is verily the mystery of the moment. Definitely worth looking into.

P.S. Where do you head for bond info? Look to Bondnheads, naturally.