I’ve been following NPR’s Planet Money and so far I’ve learned a few things:
- We want this to be low: http://www.bloomberg.com/apps/quote?ticker=.TEDSP%3AIND
This is the rate of money that banks lend to banks, it should be less then 1.0, like 0.5.
Here’s a good explanation of TED Spread.
- We want this to be high (3 month): http://finance.yahoo.com/bonds
Guaranteed return on a 3 month bond.
- Global Interest rates getting cut is an attempt to keep money out of the banks and into the general economy.
This lowers the cost of borrowing money, so it’s easier to get money and spend it.
- This site is great, http://baselinescenario.com/