Interest rates: direction dilemmas

compass

One of the less dramatic elements of the recent chaos in financial markets was the movement of interest rates. In a bid to head off the credit crisis, central banks across the world reduced their lending rates to record lows, reaching 0-0.25% in the US and 1% in the eurozone. In Japan, where the central bank rate has been kept low for many years, the level was maintained at a floor-scraping 0.1%.

As sentiment improved during last year’s slow recovery, structured product providers began to seek h

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: