Two weeks ago, U.S. interest rates may have hit their low point for the next 20 or 30 years. A study of the history of Interest rates in the U.S. indicates rates rise for decades e.g., 1952 to 1981, then decline for decades. The 33 year long downtrend in rates could have ended in mid-October. Trying to figure out the future of interest rates, like the stock market, is difficult. Even the smartest money can forecast rates moving in the wrong direction. Having offered that caution, my reason for believing rates have bottomed is the FED’s talking points’ language has changed to indicate they are preparing the financial world for higher rates here in the U.S. Once the FED starts moving rates higher, they could continue to raise them for years to come.

NOTE: the term “interest rates” as used above refers to the interest rate paid on U.S. Treasury Bills, Notes and Bonds. Keep in mind that all interest rates here in the U.S. are connected to these rates even savings accounts and CD rates at the bank, corporate borrowing rates, and mortgage interest rates for new home buyers.