Posted To: MBS Commentary
For a variety of reasons and for more than a year, the MBS Live community and I have periodically revisited the general topic of a "brave new world." This is a world where the biggest global economies get caught up in a "race to zero" interest rates and a race to devalue their respective currencies ("competitive devaluation") in order to control the inevitable descent that results from lower birth rates and lower productivity. Even the central bankers cutting rates and injecting stimulus failed to appreciate the productivity/population issues, and the fact that they served as writing on the wall for a new era of permanently low rates--at least at first. That thesis was borderline quack-ish at the time. As such, the Fed's first foray into the topic was left...(read more)Forward this article via email: Send a copy of this story to someone you know that may want to read it.
from Mortgage News Daily http://ift.tt/28VDOp5
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