Money expert and TheStreet.com writer Doug Kass recently updated his 2010 predictions and found that estimates of interest rates rising this year have been off target. Way off target.
Here’s Kass, writing about the rate picture so far this year:
"Despite consensus expectations that interest rates would rise at the beginning of 2010, the yield on the 10-year U.S. note now stands at only 3.3%. With unit labor costs still declining, austerity measures instituted over here (local and state) and over there (Europe), the withdrawal of fiscal stimulus, 2011 tax rate increases on the docket and a flight to quality, deflationary pressures have mounted and there appears to be no upward pressure on interest rates at the current time."
Obviously, that’s bad news for bank interest rate investors. While there was some momentum back in April — as more and more reports filtered in touting a decent economic recovery — lately that momentum has largely petered out.
A troubling economic climate makes it even more imperative to find the best bank deals — and they are out there. Keep checking here every Wednesday, as Deals of the Week promises to leave no stone unturned in getting you the best bargains in the banking marketplace.