Is a downgrade *GREAT* for cash rich savers?

Discussion in 'Wall St. News' started by jackpearson, Jul 29, 2011.

  1. They'll get more interest on their savings.

    it's like a forced rate hike.
     
  2. That's assuming your bank a) remains solvent; b) is willing to pass on the higher rate to you (which it probably won't be). So it's not at all like a rate hike, actually.
     
  3. jeb9999

    jeb9999

    What makes you think rates are going up?

    The Ten Year note yield has dropped to 2.82%, an 8 month low.
     
  4. there is no such thing as cash anymore. Depends on the value of a dollar, and crude.

    2 yr notes have a negative return. Dividends on S&P beat the long bond.
    Like they say on CNBC, money is in motion.

    But I will agree. I'm in the largest cash position I've ever been, and I consider it my best investment at this particular moment.