How Much Higher Will Rates Go?

Long-term interest rates have climbed dramatically over the last two months. This has negatively impacted bond and stock investors. However, many people fear they have higher still to go. After all, Washington keeps running massive deficits. The Federal Reserve and foreign investors aren’t buying as many Treasuries securities, and domestic investors want a high real rate of return. Then there is the current mess in Washington. So, just how much higher will rates go before people start gobbling them up?

In this week’s Trading Perspectives, Sam and John discuss the recent increase in interest rates and the political turmoil in Washington. Is there any reason for rates to go down? If not, how much higher will they go?