Interest Rates – What Can We Expect and How Will It Impact Retirees

“What will the Federal Reserve do with interest rates in the near future and how will it affect my retirement?” This seems to be the question on everyone’s mind lately, as news reports about the state of the economy come out seemingly weekly. The problem is, the leading authorities are great at spinning these reports in whatever way suits them best.

Apparently, the FED is getting inflation under control and GDP is slowing down to around 1%/year compared to 3.7% last year. The 10 year Treasury had been hovering around 4.6%, then dropped to 4.5%, then to. 4.4% just 2 days after the CCI report came.

This is important because when interest rates go up, the value of all financial assets tends to go down; the opposite is also true. So what’s happening now is that everyone is speculating as to when the FED will start lowering interest rates. Listen in for my thoughts.