Certainly interest rates are more likely to go lower than higher but as I intimated here frequently, a crisis of confidence can bring about a sharp spike in rates similar to the Sept repo event the Fed was able to respond in time. During the GFC bank term deposit rates in Australia were at one stage higher than loan rates because liquidity froze up globally. Now with the Fed pumping $400B so far this 4 months and possibly forced to continue doing so , market exuberance in US is incentivising excessive risk taking behaviour and we know what happens after this....it may be months or a year or 2 years we don't know. but buckle up its going to be bumpy.
