Interest Rates: Debating the Value of Zero
December 03, 2008 at 13:56 PM EST
Just a few short months ago, it was unthinkable. A year ago, it was beyond the pale. But the extraordinary arrived yesterday when the 10-year Treasury yield fell to lows previously unseen. The 10-year closed on Tuesday at 2.69%, a record low. The embedded message is clear: the market expects deflation, or something close to it. [...]
