slan's blog

Face loneliness, or seek comfort in temporary escapes?

Drivers of interest rate

2024-02-26 10:44:03 +0800 +0800

Drivers of interest rate

supply:

  • treasury

demand:

  • Foreign investors
  • Federal Reserve
  • Mutual funds
  • Banks
  • Pension funds
  • Households

short term drivers:

  • Economic data and Fed's action
  • Flights to safety
  • Debt auctions
  • Mortgage hedging flows
  • Corporate bond issuance
  • Exotics hedging flows
  • Seasonal factors