“In the late 1970s, when did we see the critical tipping point that marked the beginning of the surge? It was after three things happened:  First, we witnessed two periods of real interest rates below zero (same as recent years) … Second, we experienced an initial collapse in bond markets that began to drive yields higher (same as now) … Third, we saw a cross-over into the black, as interest rates rose above the inflation rate (same as just happened earlier this year). And THAT’s when interest rates went through the roof, carrying the U.S. Treasury-bond yield to 13% and the Treasury-bill rate to 17%.”

http://www.moneyandmarkets.com/the-chart-of-the-century-54071

Did you like this?
Tip Freedomwat.ch Staff with Bitcoin

Donate via Installed Wallet Copy