Limbo Rock! Fed Funds Futures Imply Negative Futures US Interest Rates

Fed’s Jerome Powell is watching how low interest rates will go.

Despite Chairman Powell’s claims that the US will never go negative, The Fed Funds Futures rates are signaling YES.

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Negative interests rates are appearing in US Treasury Strips (both coupon and principal strips).

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The short-end of the Treasury curve is flirting with negative yields while the TIPs curve is profoundly negative beyond 3 years.

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How low will interest rates go?

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Rebound! Case-Shiller National House Price Index Increased 3.8% YoY In December (Phoenix AZ Faster Growing, NYC and Chicago Slowest Growing)

Yes, it is February 25th, and the Case-Shiller repeat sales house price index is out for … December. 1096960_CSHomePrice-Release-0225

The report shows that US home prices continue to rebound after a period of slowing.   The CS National house price indexed increased 3.8% YoY in December 2019.

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The slowest growing US cities? High tax metro areas Chicago, IL and New York, NY.

The fastest growing? Phoenix, AZ.

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Yes, the CS National home price index keeps on rising along with The Fed’s soft monetary policy.

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But at least the CS National HPI YoY is around the YoY growth in hourly earnings.

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