How Higher Interest Rates Alter Our Financial Blueprint

We explore six impacts of higher interest rates on housing, capital projects, stock buybacks, excess returns for stocks, bonds, and other asset classes, and individual opportunity costs.Topics covered include:Where current interest rates standCentral banker predictions for how long cash yields will stay this highWhy housing is the least affordable since the early 1980sWhy new apartment building construction has collapsedWhat has been the excess return for stocks, bonds, and other asset classes when interest rates are higher and lowerWhy there will be fewer stock buybacks and how that can impact earnings per shareWhich alternative investments do better when short-term interest rates are higherWhy financial opportunity costs have increased and how that should impact our investment and other financial decisions.SponsorsMadison Trust Self-Directed IRA - Go Here to Learn More and Get Your $100 Off Promo CodeNetSuite – Get your free KPI checklistsInsiders Guide Email NewsletterGet our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter.Show NotesSummary of Economic Projections—The Federal ReserveThe Apartment Market Is Hitting a Construction Lull by Will Parker—The Wall Street Journal30-Year Fixed Rate Mortgage Average in the United States—FRED Economic DataAmericans Are Still Spending Like There’s No Tomorrow by Rachel Wolfe—The Wall Street JournalHoney, the Fed Shrunk the Equity Premium by Portfolio Solutions Group—AQRCompanies ease off on share buybacks as rising interest rates push up costs by Nicholas Megaw—The Financial TimesRelated Episodes384: Has a Commodities Bull Market Supercycle Started? If So, How Do You Invest in It?435: Is It Better to Rent or Buy a House?448: Where Are Interest Rates Headed Next? Insights from the Jackson Hole SymposiumSee Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.