The bond market is bigger then the FED and traders would not want to lock away money for 10 years at 3.4% if they believe inflation is coming. If the economy were to recover the bond market will push up rates but if we are still stuck in a deflationary environment, then rates could even head lower. Seems to me deflation and inflation are still being debated.
Through the inflation of the 70's wages doubled which forgives the long term debit.
House prices almost trippled.
The price of this was in the equity markets. The DOW went no where for an entire decade. Made 30%-40% swings up and down in a year. But long term investors/retirement funds made nothing.
Only after this inflation period did equity markets take off as people had the ability to power it again through inflation.