If interest rates were to rise in the U.S. during an economic slowdown as a result of the perceived higher debt risk, it would hurt the economy even more and possibly lead to another recession.
The company would also benefit if the growing interest in nuclear power plants in the U.S. comes to fruition.
If that happens, it would likely cause U.S. interest rates to rise, resulting in an appreciation of the U.S. dollar.
Arizona Republican and presidential contender John McCain, a staunch supporter of the war, asked Jones if he believes it would be in the interest of the U.S. to just set a time frame for withdrawal.
But for Quinn, of Wheelock Natwest, the most promising equities for the rest of the year are to be found in Thailand, the Asian market most sensitive to U.S. interest rates -- a plus if you think those rates are headed down.
In response, some might say that since U.S. Treasury rates serve as interest rate benchmarks, if our federal government runs into financial trouble then interest rates will rise for all borrowers.
FORBES: Everything the Hysterics Tell You About Budget Deficits Is Wrong
In-Q-Tel wouldn't reveal which, if any, of the U.S.'s 16 intelligence agencies had expressed interest in assembling the virtual world or how much the project would cost.
What if U.S. ARM re-sets (based on LIBOR) bump up the interest-rate charges that already-strapped homeowners have to pay?
FORBES: UPDATE: LIBOR The Antitrust Division's Trojan Horse?
Foreign governments risk overheating and asset bubbles in their economies if they maintain inappropriately low interest rates in order to keep their currencies undervalued vs. the U.S. dollar.
Imagine if the U.S. scrapped the dollar for a 'currency of the Americas, ' let interest rates be set in Ottawa, dissolved its frontier with Mexico, accepted Honduras, El Salvador and Guatemala as states, rewrote its constitution four times and let laws made in Washington D.
The European sovereign-debt situation has many market watchers citing it as gold price-friendly, but there are several who said if Europe slips into recession and the U.S. growth is feeble, this could ultimately dent interest in gold because the metal will have lost the inflation-hedge aspect.
FORBES: METALS OUTLOOK: Gold Could Advance As European Concerns Linger
The U.S. Treasury will give priority to making interest payments to holders of government bonds if lawmakers fail to reach an agreement to raise the debt ceiling, according to an administration official.
FORBES: Not Default, Growth: Wall Street, Main Street And Even Washington Gets It Now
If present borrow and spend trends continue, this then makes the U.S. government extremely vulnerable to rising interest rates.
FORBES: US government's fiscal plight, the numbers say it all
Now it may also be true that the financial markets would go into a tailspin if Congress bars the U.S. from net new borrowing a response that could sharply drive up interest rates.
FORBES: Right Shows Blithe Indifference To Consequences Of Hitting The Debt Limit
As the deficit balloons, if outside investors start to feel concern about the sustainability of U.S. debt, that factor could drive interest rates higher on Treasuries which would be an extremely scary scenario.
The U.S. Treasury can only suffer a loss from granting an income exclusion if the person or designated group of those who receive the exclusion are actually holders of U.S. none interest bearing debt instruments.
If the BPC is correct in their numbers, it is unlikely that the U.S. government would default on interest payments to investors.
FORBES: U.S. Treasury To Run Out Of Money By Feb. 15, Study Says
If the world was actually worried about the U.S. debt, investors would force us to pay very high interest rates to attract investors in our debt.
If an agreement is reached on lifting the U.S. debt ceiling, prices could pull back, but buying interest under the market will limit the downside for gold prices, market watchers said.
FORBES: METALS OUTLOOK: Nervousness Regarding Global Economy To Support Gold Next Week
应用推荐