Current US interest rates are modest by historic standards, Hammack says
By Howard Schneider CLEVELAND, Oct 12 (Reuters) — Rising interest rates have put US Treasury yields more in line with historical norms, Cleveland Fed President Beth Hammack said on Monday, noting that if home mortgage rates fell back to 3% it would likely mean something had gone wrong in the economy. “The rates I see on the 10-year note now are in line with the 90s.... These rates look like higher rates but I think of these as modest," Hammack said, noting that the low mortgage rates in the era from the 2007 to 2009 financial crisis through the COVID-19 pandemic were also a time of sluggish growth and aggressive central bank reaction to it. Current mortgage rates are more than 7%. (Reporting by Howard Schneider; Editing by Mark Porter) ((howard.schneider@tr.com)
By Howard Schneider CLEVELAND, Oct 12 (Reuters) — Rising interest rates have put US Treasury yields more in line with historical norms, Cleveland Fed President Beth Hammack said on Monday, noting that if home mortgage rates fell back to 3% it would likely mean something had gone wrong in the economy. “The rates I see on the 10-year note now are in line with the 90s.... These rates look like higher rates but I think of these as modest," Hammack said, noting that the low mortgage rates in the era from the 2007 to 2009 financial crisis through the COVID-19 pandemic were also a time of sluggish growth and aggressive central bank reaction to it.
Current mortgage rates are more than 7%. com)