Good morning. Mexico’s central bank recently cut interest rates. As noted by Bank of America analysts, this marks the 800th rate cut by a central bank since the start of the financial crisis with the bankruptcy of Lehman Brothers.
While some banks have raised interest rates in that time—including the Fed—lower interest rates for longer periods of time entice buyers to make decisions they otherwise couldn’t afford at higher borrowing costs. Some see this as a reason why the stock market has high valuations typically associated with a bubble. But compared to investing in government bonds with next to no yield, and with many common stocks still offering enticing yields, this market likely still has a long way to go higher.
News 
Market Data 
Discover 
AI
