Real Rates Aren’t Your Real Friends
Despite a recovery in the past couple of days, global stocks are having their worst month of 2023.
Longer-term bonds, gold futures and shares in real-estate investment trusts have all taken downward turns.
So-called real rates—borrowing costs minus expected inflation—keep going up. One common gauge of real rates is the yield on inflation-protected government bonds.
In the U.S., it is now 2.3%, close to a 14-year high.
Many investors are now dreading the possibility of policy makers at Jackson Hole implicitly raising their estimate of r-star.
Wall Street Journal 24 August 2023
https://www.wsj.com/finance/investing/real-rates-arent-your-real-friends-87d3c336
Inlägg med etikett realräntor
https://englundmacro.blogspot.com/search/label/realr%C3%A4ntor
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