Negative Interest Rates? How’s that work?
In: Economics
It’s complicated. You can park your investment in that instrument and know that you will not lose more than that amount. In other investments you could lose more than that. Right now we have what’s called an inverted yield curve where long term bond rates are less than short term bond rates, indicating investor belief that the economy is headed towards a recession. I’m deep into a bottle of wine so do not make any investment decisions based on my half formed thoughts.
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