Negative Interest Rates?

Discussion in 'Economics' started by high-performance, May 14, 2020.

  1. Amun Ra

    Amun Ra


    Well...we certainly blew our chance at getting rid of that aging population this year, didn't we? :D:sneaky:
     
    #11     May 14, 2020

  2. Simple
    Basically you pay to store your money think of it like storage cost
    Lol
     
    #12     May 15, 2020
  3. bone

    bone

    Negative rates (Theoretically) essentially force investors to move capital into greater yielding investments - buy businesses, buy stocks, invest in business infrastructure...
     
    #13     May 15, 2020
  4. ironchef

    ironchef

    It did trickled down:

    https://www.cnbc.com/2019/08/12/dan...r-mortgages-with-negative-interest-rates.html

    I am waiting for this to happen in the US. Trump would love it, all homeowners would love it.
     
    #14     May 17, 2020
  5. mortgage rates would actually go up as there is risk of mortgage default as jobs are harder to get. People who get laid off may not able to find jobs. or banks want higher downpayment

    Instead of 10% downpayment, you'll need like 30% downpayment and higher mortgage qualifications. if homes are less liquid.

    Mortgage rates won't get negative rates as they are not traded. You might get negative rates in 'trading' these bonds in the illiquid manipulated electronic markets but not in the real world.
     
    #15     May 17, 2020
  6. bone

    bone

    #16     May 17, 2020