One thing that i feel people really aren't getting right now is that rates are still extremely low and they are moving slowly too compared to previous financial shocks. The fed rate today is 5%. The historical average is 7.5%. They are moving by the smallest amount they can each meeting.
There was a post earlier today with comments of the form "why are Meta selling bonds right now when rates are so high shouldn't they sell bonds when it's cheap?"
But there's no reason to think rates are high right now except for a comparison to the weird run of near 0% that went on for too long.
So we have banks failing due to shock at the recent rate rises but the recent rate rises haven't actually been that extreme or fast. We seem to have got into a phase where there was an assumption that near 0% rates were here to stay. Banks even gambled on this assumption. If anything you should be leaning towards "wow rates are really cheap right now!" because they are historically.
There was a post earlier today with comments of the form "why are Meta selling bonds right now when rates are so high shouldn't they sell bonds when it's cheap?"
But there's no reason to think rates are high right now except for a comparison to the weird run of near 0% that went on for too long.
So we have banks failing due to shock at the recent rate rises but the recent rate rises haven't actually been that extreme or fast. We seem to have got into a phase where there was an assumption that near 0% rates were here to stay. Banks even gambled on this assumption. If anything you should be leaning towards "wow rates are really cheap right now!" because they are historically.