Economists Weigh In: Will Rates Plunge After the Election?

[@krassimirpetrov7131]

The example you gave at 2:14 was actually the definition of a zero coupon bond

[@moosepn]

I agree that's how it's "supposed to work" in theory but that's not always what happens there isn't a direct correlation other than the FED is trying to sell a ton of MBS and they removed a ton of liquidity holding the rates up so that they could develop a plan to offload them. I don't know how else you would possibly explain the 2.25 30-year I signed a couple of years ago. I think the St Louis Fed actually released a report on those figures prior to the last rate cut. They may make this next 25bps cut and the mortgage rates come back down. They kind of expect the rates to ease back down into a channel 4-6% over a 10-year period where they stop investing back into the 3T of MBS and steadily liquidate them back to the market. Although even with the Fed projections, if they were always right we wouldn't have very many problems to talk about so who knows?

[@dylyo1]

The 10yr treasury has gone up for 6 weeks which affects 30yr yield. Expecting more is ridiculous yet calling a top isn't the smartest thing. I'll gamble we see some kind of retracement to at least half this run if not totally. We're all gonna find out real soon 😉

[@louiscorprew7970]

I am learning so much from your channel. Appreciate you Dan!

[@MrDonny27]

Not me

[@TheRateUpdatewithDanFrio]

Glad to hear it!

[@LVH100]

Mortgage rates is not going down. By the end of the year we will be seeing 8%

[@eegleman]

Vote Donald J. Trump to prevent the US from falling into a financial abyss!!!

[@gearlstrickland3365]

Which candidate running for president do you think the interest rate will drop with?

[@Mannyman2023]

Back then, the president didn't bother with the fed decision on the bond. Elen was the fed chairman, and she was pumping trillion of trillion of dollars to buy down bond, making it close to zero. Guess which running president is not allowing the fed to lower interest rate right now!

[@steveludwig4200]

Don't know that........But DO know that COST OF LIVING for all productive Americans will go UP if The Blue Teamer wins and stay flat or go DOWN if the Red Teamer wins.....Take that to the bank!

[@rogeliobarraza1772]

Both

[@parkerbohnn]

Obviously Harris who will win by a landslide November 5th. They lie about the economy, GDP and unemployment rate before the election saying its a lot stronger than it really is so interest rates will plunge immediately after the election.

[@parkerbohnn]

@@Mannyman2023 Rates will spike if Trump wins and freefall if Harris wins I can 100 percent guarantee that. The stock market should rise if Trump wins and crash if Harris wins.