Skip to main content

What Are Negative Interest Rates?

With several global central banks cutting interest rates in 2016, one question we keep hearing is, "What are negative interest rates?" A negative-interest-rate policy (NIRP) is a monetary policy tool where nominal target interest rates are set with a negative value somewhere below zero. In short, the policy means banks and customers are essentially paying to park their money at financial institutions. Negative interest rates have become much more popular in 2016, and Money Morning experts say the ramifications are huge for global stock markets. Before we get to the global implications, here's how popular they have become... Tags: Bear Market , bear market 2016 , fed negative interest rates , negative interest rate , Negative interest rates , NIRP , stock market crash , stock market crash 2016 , what are negative interest rates To get full access to all Money Morning content, click here About Money Morning: Money Morning gives you access to a team of ten market experts with more than 250 years of combined investing experience – for free . Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors. Disclaimer: © 2016 Money Morning and Money Map Press. All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning. 16 W. Madison St. Baltimore, MD, 21201. The post What Are Negative Interest Rates? appeared first on Money Morning - We Make Investing Profitable .
Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.