Negative Real Interest Rates – The Invisible $290 Billion Tax On Savers

Whatever happened to the concept of earning interest on savings?  Since the start of the financial crisis in 2008, the Federal Reserve has aggressively suppressed interest rates to near zero. The Fed’s rationale for lowering interest rates was to get the economy back on track by lowering borrowing costs for both consumers and businesses.  Lower […]

Fed Says Banks Can Withstand Financial Hurricane – Savers, Borrowers and Shareholders Not So Lucky

Stress tests of the largest banks in the country against a financial hurricane of “extremely adverse” economic conditions shows that almost all of the largest banks in the country would be able to maintain adequate capital levels.  The Federal Reserve said that 18 of the 19 banks stress tested would survive even if stock prices […]