Interest rates rising - 70s type inflation redux?

[dls]

The 30 year interest rate at the BECU has gone from ~5.75% last Friday to ~6.1% today. Not sure if this is a somewhat normal fluctuation in daily rates, or harbinger of near 1970s type high inflation. Thoughts?

[deejayoh]

Mortgage rates have rarely been under 6% at any point in the last 40 years. I would not interpret a move from under six percent to over six percent as indicative of anything

[mukoh]

I am of the same opinion as Dj. However it would be interesting to see if it did hit that level at this time. Market seems to not be able to bear it.

[sniglet]

For what it's worth, I think the recent rise in interest rates is only temporary, and coincides with the broader bear market rally we are seeing (e.g. rising prices for stocks and commodities, a declining dollar and US treasuries). When the rally ends (sometime late this year or in 2010) I think we will see deflation grip the economy far tighter than we've yet seen in the last year.

Unfortunately, super low mortgage rates won't be of much consolation to the growing ranks of underwater home-owners and unemployed.

[SeattleMoose]

Appears being in the calm/sunny "eye of the hurricane" has made us forget we are in a hurricane.

So it must be a good time to:
1) buy RE
2) buy stocks
3) start charging up those CC's
4) buy a car from some bankrupt car company

Obviously, the "storm" is over!!!!