Wednesday, August 3, 2011
Debt Fear Declines and Growth Fear Sets In
The US were able to put a deal together at the very last minute. Which surprised no one. The politicians down there have not learned anything and the stock and bond markets are now going to make them pay for it.Personally i hope the American people vote all of them out of office for the very unnecessary worry and stress caused to everyone! The real problem is growth of the economy and jobs. The US needs jobs so people will have security and money to spend. This will keep the machine rolling. Till this happens we are in a low interest rate environment and low growth opportunities for certain sectors. We have seen over the last few days bond rates in Canada plummet to the lowest levels since the financial crash. We are now back at historic lows on Fixed rate terms as well as deep discount variable terms. This tells me we are heading to low interest rates for more of an extended time.