19 Dec 2014
A modest rise in US rates next year - RBS
FXStreet (Guatemala) - Analysts at RBS offered their view on US rates for 2015.
Key Quotes:
“We expect a modest rise in rates next year with the opposing forces of bearish long term technicals and supportive interest rate differentials keeping longer-end rates relatively contained for a year when Fed rate hikes are likely to begin”.
“An unexpected rise in German rates (which we do not expect) would likely lead to a sharper rise in Treasury rates than we forecast”.
“One could say that the success or failure in our 2015 rates forecast may rest as much on the actions of the ECB as they do with the Fed and their policy choices”.
Key Quotes:
“We expect a modest rise in rates next year with the opposing forces of bearish long term technicals and supportive interest rate differentials keeping longer-end rates relatively contained for a year when Fed rate hikes are likely to begin”.
“An unexpected rise in German rates (which we do not expect) would likely lead to a sharper rise in Treasury rates than we forecast”.
“One could say that the success or failure in our 2015 rates forecast may rest as much on the actions of the ECB as they do with the Fed and their policy choices”.