A.M. Best Special Report: Interest Rates Will Continue to be Depressed Through 2009

Whereas in second quarter 2008 the Fed had been the target of questions from Congress regarding its aggressive rate cuts, Congress’ queries now concern the general state of the economy, including increasing foreclosures, low consumer confidence, stability of the financial system, proper use of the Troubled Asset Relief Program (TARP) funds and equity injections into banks are a few of the topics. Investors’ low inflation expectations and the depressed state of the economy, signal interest rates will remain low in the short-term in an effort to encourage bank lending.

A.M. Best Special Report: Interest Rates Will Continue to be Depressed Through 2009
Source: Insurance News Net