The notion that interest rates will be higher can be agreed upon by nearly everyone on Wall Street.
What has been up in the air is when rates will begin to increase and by how much. On Wednesday, the Fed and head Janet Yellen made hawkish comments that have shone some clarity on to when rates will begin to rise.
After the FOMC announcement the yield on the 10-year Treasury bond leaped from 2.70 percent to 2.77 percent. This is the highest yield in a week, but remains below the 3.03 percent the bond was yielding to begin the year.
As the tapering continues and the Fed believes the economy can stand on its own it will move closer to increasing the Fed Funds rate from the historical low it has been sitting at for five years.
Another debate is how rising interest rates will affect specific sectors in the market. The early stages of rising interest rates can be ...
