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ottertail co mn | Until inflation actually goes down rates that are not tied to prime will stay where they are or keep going up. Locs are generally tied to prime and credit cards also. Most consumer loans are tied to the 10 year yield and that yield is not following the fed rate.
With all the things that are on the books inflation WILL NOT be coming down. Groceries and other retail will not go down either. On,y things that are going to come down are things people don’t need and can’t afford and generally new prices will not go down, it will be the used stuff that people need to get out of that the prices will fall.
I talked to a local business man, the day after the election he signed $1.1 million worth of business with 10% prepaid to make sure they get on the books for the work done. This is not how inflation goes down it is how it goes up.
The only thing that may help is if gas goes below $2 a gallon, which may reduce shipping costs but the other side of that the consumer will more expendable income and then inflation goes on
So my simple answer is most interest rates will not be going down | |
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Interest Rates
