"If the economy continues to show signs of prosperity it is likely rates will continue to remain at current levels."
The Dow Jones felt a significant loss over the course of the week which is a signal the equities market might have topped out for now. Interest rates have remained flat this week as new Federal Reserve Chair, Jerome Powell, has his hands full with our complicated economic environment. Jerome Powell took the reigns over of the Federal Reserve on Monday of this week, replacing former Fed Chair Janet Yellen. Concerns of uncertain stability in economic growth is butting heads with a rising interest rate environment. If the economy continues to show signs of prosperity it is likely rates will continue to remain at current levels. If there are signs of concern for economic growth the fear for deflation becomes noticeable, where consumers become fearful of spending their money especially when borrowing costs are higher. Powell certainly has his hands full. If the DOW continues to plunge a flight to safety in the bond market would be expected, thus helping interest rates.