Upward pressure on rates may bring unexpected turns

27 May 2012 - Andrew Gillingham

The present low-interest environment has been in place for some time in response to the 2008 financial crisis, but there are indications that rates could begin upward movement  sooner than expected.  Sandy McGregor, portfolio manager at Allan Gray, points out that US rates tend to dominate rates around the globe, and as long as US rates remain low, other countries will tend to keep their rates down.