Understanding the Market Outlook - Interest Rate Tutorial

[conan.who.am.i]

Dr. Meldrum, thank you for your continuous effort to broaden our knowledge!!

[hockadog]

The first 5 minutes just explained a question I've had for years. Thank you

[TheRiseofSuperman]

Thank you once more for all the work you put into this channel. Your work has inspired me to purchase the Applied Series. I haven’t had a chance to go through the material yet because I’m currently studying for another securities exam., but I look forward to digesting the applied series soon. Thank you for this video in particular and again thank you for all your hard work,

[sanjogkarki]

Thanks Mark for this. Looking forward for much more tutorials

[lessthanzero.]

This is really useful for a student like me just starting in finance. Thanks, Dr.Mark!

[Anonymous-weeu]

Dr. Meldrum, thank you so much for your efforts and all the knowledge you share. But specifically, this video was so much needed, the fact that you made this video to address this topic speaks a lot about u and the kind of mentor you are, thank you very very much!

[jaytailor]

Dr. Mark, thank you for your content and your efforts to bring very valuable knowledge to professionals and students at zero cost. I look forward to your weekly content, both on YouTube and on your website.

[Felipe-rltz]

Masterclass! Thank you for sharing so much knowledge

[imfromtoronto]

Great videos by Dr. Meldrum! Very grateful for your insights!

[pavlovigor]

Thanks so much, Dr. Mark!!! Very interesring and useful tutorial

[MsSucka]

I've been looking forward to this. Thank you!

[richardgordon]

Many thanks Dr. Meldrum, much appreciated!

[romanalejskova]

Thank you for this explanation, appreciated.

[tuanmai]

@36:00 Why do you use the real yield 1.66 instead of 1.46?

[s]

What does a positive or negative change in the yield curve mean? As an example, 01/01/2023 to 02/10/2023 the yield on a 2 yr treasury has changed 9bps. How and why does this happen and is this a good or bad thing? Also, I have been hearing that the Fed can only influence the front end of the curve, why is that the case if it is true?

[mikhailn]

Thank you so much, waiting for other tutorials too

[ankitshah]

@49:40 Is it necessary that real rates would drop when (EFFR) drops (due to break even rates dropping)? It can also be the case that real rates have gone up keeping inflation the same. resulting in breaking even rates going down & lowering EFFR?

[karlelliott]

Thanks as always for such a clear and instructional video Dr. Mark. One question I have relates to the material from the 40.50 minute mark where you make the point that we should be indifferent between investing for 3 years and rolling over at the forward rates versus just investing for 3 years (makes perfect sense). It's mentioned that when we take the (appropriate nth-root of) the product of (1 + 1yr)(1 + f1, 1)(1 + f2, 1), that we should get back today's nominal 3yr (par) rate (i.e. 4.19%). My question is, from a technical standpoint should we not expect to get back today's 3yr spot rate (instead of the 3yr par rate)? From CFA Level 2 FI module, I had it in my mind that forward rates were derived from spot rates which made me think that while taking the product of the successive forward rates in the way shown would get us close to the 3yr par rate (i.e. would be a good approximation), that it wouldn't get us there precisely and that instead it would get us to the spot rate for that 3yr maturity instead. Am I going about applying this concept in the wrong way here ?

[arishah]

Hi Dr. Mark, I am unable to get the same probability using the Fed Fund Futures Formula at Level 3 Derivatives for these interest rate hike decisions. Could you assist me with one? Perhaps it is done differently

[jazzyj]

mark's education will lift me up out of poverty. youtube comment MANIFEST!