10-Year Treasury Flirting with 3-Percent Threshold, A Symptom of the Accelerating Economy

 

10-Year Treasury Flirting with 3-Percent Threshold, A Symptom of the Accelerating Economy

Special Report
10-year TreasuryApril 2018
The 10-year Treasury inched past 3 percent, drawing concerns from some investors. Strong economic momentum, however, reiterates the health of the current economic cycle which bodes well for all sectors of commercial real estate.
Key Findings:
■The strength and durability of the current expansion shows no signs of slowing and points to continued support of commercial real estate.
■Though interest rates are rising, current levels remain well below the long-term average of 6.2 percent.
■A rapid increase of interest rates could widen the expectations gap, potentially slowing commercial real estate transaction activity.