Yellen May Just Have Pushed the Dollar Into a Bull Market vs. the Euro
But there is almost no demand for short-term interest rates to rise in the U.S. The commercial banks are sitting on almost $2.7 trillion in excess reserves. It is not expected that the Federal Reserve will remove reserves from the banking system to cause a rise in short-term interest rates.
The effective Federal Funds rate traded last week at around 9 basis points. Over the past year, it has primarily been in the range of 8 basis points to 9 basis points, although it has gotten as low as 6 basis points and as high as 11 basis points.
There is just no demand for funds relatively to the supply of funds that are available.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV