It's closer to around 4%. Which even that, just based upon my own personal experience feels way too low.
Housing in particular has just gone completely bonkers. And that's with 6-7% mortgage rates.
And the real question is, why even increase? They are already around 2%, so if anything they should rather be ready to lower the rate.
IPOs often take a similar pattern. They bounce high at first, then fall back. I think we see $20 - 30 from here. If they are a stinker they keep dropping, but if they are going to last they begin growing slowly after that and then sharply when the restaurant growth count really begins.Long term, I think it will be a good one, short term not so much. One of the guys that helped Panera grow to it's size is responsible for the chain now, so I'm hopeful it will be a good long term investment. I put < $1000 into it.
I know IPO are usually not a good idea.
Yes god forbid that inflation is going down and people are keeping their jobs (which is actually their job) . Let's roll them over just because... :/Haven't bought anything in about a month. The strong jobs data looks to be the trigger for the inevitable slide I've been waiting for.
Trying to fight an aging population and lack of immigration (2 major contributors to the low unemployment rate) with interest rates is an impossible battle. It is like arriving to a gun fight with a stick of celery.First they can't keep inflation down and then they want more unemployment, the two opposites of why they exists. Great job.
But..but .but ... the FED is going to cut rates in October! That is what has propelled this move upward.Yes god forbid that inflation is going down and people are keeping their jobs (which is actually their job) . Let's roll them over just because... :/
First they can't keep inflation down and then they want more unemployment, the two opposites of why they exists. Great job.
Uhm, why 5%? It is a tool for stimulation or braking the economy, if anything it should be linked to the inflation, and then the fed could adjust it up to +/-1% depending on what would be most feasible.Yes, let's start reducing the rate and race to zero again. Sheesh.
The rate should never go below 5%, no matter what. There needs to be a standard where you either sink or swim. Stop getting drunk off zero percent interest rates.
Yes, let's start reducing the rate and race to zero again. Sheesh.
The rate should never go below 5%, no matter what. There needs to be a standard where you either sink or swim. Stop getting drunk off zero percent interest rates.
There is an economic concept of the Natural Rate of Interest. This is defined as the interest rate that is neither stimulating nor suppressing the economy. It is an under-studied concept and it is difficult to measure an economy with a single value. For example, will lower interest rates stimulate consumer demand, leading to higher prices? Or will low interest rates stimulate manufacturer borrowing, leading to increased supply, and thus lower prices? Or a combination of both with an unpredictable outcome depending on what entities actually are doing the borrowing?The rate should never go below 5%, no matter what. There needs to be a standard where you either sink or swim. Stop getting drunk off zero percent interest rates.
Long RIVN $23.90
If your rate is not higher than inflation, you are still losing money.I have a chunk of money in a 5% savings account and another chunk in 5-5.5% treasury bills. The rate seems great and all when I get a random $1000 bill in my account at the end of the month but the tax bill is going to be irritating. It’s a pretty tax inefficient investment strategy.
The average over the past 12 months in the US is ~4%, and that might fall further as the spikes of last summer fall off, so savings accounts and whatnot making for than 4% are overall fine. And your personal inflation rate may be even lower, depending on how you typically spend, thanks to how that average rate is calculated.If your rate is not higher than inflation, you are still losing money.
Don’t worry, I get it and understand the math well. Cash and treasury bills are a small part of my investments but there is a lot of value in holding both and getting a half decent guaranteed rate. Most of my after tax savings is now going to cash but almost all of my retirement savings still goes to stocks.If your rate is not higher than inflation, you are still losing money.