If the interest rates on money loaned to banks

**il Padrino Ute** · 01-20-2009, 04:28 PM

Dunno.

But it's Obama's fault now. He's the President.

**Guest** · 01-20-2009, 04:33 PM

Because the demand for Treasuries is just coming off record highs, so yields are super low. Treasury yields were at 0% in December.

**Guest** · 01-20-2009, 04:34 PM

Interest Rate Statistics

http://www.ustreas.gov/offices/domestic-finance/debt-management/interest-rate/yield.shtml

NOTICE: See Developer Notice on changes to the XML data feeds.Daily Treasury PAR Yield Curve RatesThis par yield curve, which relates the par yield on a security to its time to maturity, is based on the closing market bid prices on the most recently auctioned Treasury securities in the over-the-counter market. The par yields are derived from input market prices, which are indicative quotations obtained by the Federal Reserve Bank of New York at approximately 3:30 PM each business day. For information on how the Treasury’s yield curve is derived, visit our Treasury Yield Curve Methodology page.View the Daily Treasury Par Yield Curve Rates Daily Treasury PAR Real Yield Curve RatesThe par real curve, which relates the par real yield on a Treasury Inflation Protected Security (TIPS) to its time to maturity, is based on the closing market bid prices on the most recently auctioned TIPS in the over-the-counter market. The par real yields are derived from input market prices, which are indicative quotations obtained by the Federal Reserve Bank of New York at approximately 3:30 PM each business day. Treasury began publishing this series on January 2, 2004. At that time Treasury released 1 year of historical data.View the Daily Treasury Par Real Yield Curve Rates Daily Treasury Bill RatesThese rates are indicative closing market bid quotations on the most recently auctioned Treasury Bills in the over-the-counter market as obtained by the Federal Reserve Bank of New York at approximately 3:30 PM each business day.View the Daily Treasury Bill Rates Daily Treasury Long-Term Rates and Extrapolation FactorsTreasury ceased publication of the 30-year constant maturity series on February 18, 2002 and resumed that series on February 9, 2006. To estimate a 30-year rate during that time frame, this series includes the Treasury 20-year Constant Maturity rate and an "adjustment factor," which may be added to the 20-year rate to estimate a 30-year rate during the period of time in which Treasury did not issue the 30-year bonds. Detailed information is provided with the dataView the Daily Treasury Long-Term Rates and Extrapolation Factors Daily Treasury Real Long-Term Rate AveragesBeginning on January 2, 2004, Treasury began publishing a Long-Term Real Rate Average. This series is intended for use as a proxy for long-term real rates. Treasury provides historical data back to 2000.View Daily Treasury Real Long-Term Rate Averages

**wuapinmon** · 01-20-2009, 04:38 PM

Originally posted by Hallelujah View Post

is 0%, why do their Money Market and CD rates keep falling. Falling further than when they were paying more for their money from the feds.

Think about what the amount of money available vs. the amount being loaned is. If money is free but lending is down they lose that incentive to keep deposits on the books to offset outstanding debt because they can borrow from free vs. paying you to borrow your money....also, they know that the economy sucks so any return you can get, you'll take, and they lower the rates because inflation is down because spending and oil are down.....it's a feedback loop (sort of....not really). They just want to write off/sell the bad loans, hoard cash without too much expense so they can pounce on assets of banks that fail. It's a waiting game. The bailout plan, in my opinion was done too hastily without enough forethought....however, I don't think they had the luxury of time when they made the decisions. They did what they thought was best.

I'm not an economist, so I could be wrong...this is my theory. I read, a lot. And I don't watch TV news.

**Hallelujah** · 01-20-2009, 04:57 PM

Originally posted by wuapinmon View Post

Think about what the amount of money available vs. the amount being loaned is. If money is free but lending is down they lose that incentive to keep deposits on the books to offset outstanding debt because they can borrow from free vs. paying you to borrow your money....also, they know that the economy sucks so any return you can get, you'll take, and they lower the rates because inflation is down because spending and oil are down.....it's a feedback loop (sort of....not really). They just want to write off/sell the bad loans, hoard cash without too much expense so they can pounce on assets of banks that fail. It's a waiting game. The bailout plan, in my opinion was done too hastily without enough forethought....however, I don't think they had the luxury of time when they made the decisions. They did what they thought was best.

I'm not an economist, so I could be wrong...this is my theory. I read, a lot. And I don't watch TV news.

So because of the feds lowering their rates, my savings rate goes down? If that is the case, not only is the taxpayer paying for the bailouts, we're taking in the shorts with our savings rates?

**Hallelujah** · 01-20-2009, 04:59 PM

Originally posted by il Padrino Ute View Post

Dunno.

But it's Obama's fault now. He's the President.

LOL

Excellent point. The Dems can no longer point their finger at the Repubs. They control EVERYTHING. But trust me, they will continue to blame Bush.

Wasn't it the Dem controlled congress the last two years? The dumb repubs should have played that up this last campaign season. but then again, McCain didn't instill any confidence either. I thought McCain would have gotten clobbered, yet it was still somewhat of a close election.

Keep you hands inside the ride, it's going to be a doozy.

If the interest rates on money loaned to banks

If the interest rates on money loaned to banks

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