With the Fed set to speak shortly, we're likely to hear the words "extended period" once again. I thought it might be interesting to look at some historical data for some guidance on just how long that "extended period" could be. Above is a chart of the 3mo Treasury rate from 1934-2011. Notice that rates stayed this low for the period from 1934 until about 1948. Just 3 years into our modern day ZIRP environment, we could be down here for a long time...
UPDATE: Well, I guess it's officially at least 2 more years...Thanks for the quick response, Fed!
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