interest rates

“The Fed has consistently cut rates over the last 16 years to solve problems brought about, to be quite honest, by low rates, and is now stuck in this circle sort of consuming itself and the rest of the economy.”

“Well, the problem is that in this instance, the interest rates at the beginning of the problem were one and a half percent. So clearly if it's one and a half, you can't cut by five.”

“I'm not seeing interest rates going up anytime soon, especially not for the next two to three years. And I think we'll continue to see this inflow of capital into the venture market, making the market ever more frothy than it's been for the next two to three y…”

“Clearly the one thing that's different from the past 102 hundred years are near zero interest rates, maybe below zero real rates across the globe, and, you know, technically your DCF model just Blows up. It doesn't work, right? It doesn't solve. And at the ver…”

“The lower the interest rates, the higher the asset price is justified. We have the lowest interest rates in history. That justifies, for example, the highest P.E. Ratios in history.”

“Interest rates are to valuations, you know, what gravity is to the apple.”

“So I suspect that the new normal is going to look a lot like the old normal, but we have to get through this period of massive uncertain and volatility so that you and I can underwrite to a predictable cost of capital.”

“To assume that we're going back to that world after we get through this bout of inflation is also in my view, an unrealistic assumption. You're just gambling for redemption on that one.”

“If they do, the United States government's gonna be in a lot of trouble. We can't pay our debt of 10% interest. They have to keep printing money, and then you have an inflationary cycle, which then makes interest rates go even higher.”

“They're not going much down. I mean, I think we have sustained inflation for structural reasons for a decade. Yeah. Plus or minus, they might be slightly alleviated, but there's a lot of very strong reasons why this zero interest rate or low interest rate envi…”

“When either valuations are coming down rapidly, going up rapidly, when interest rates are going up rapidly and the valuations are coming down because the markets are just, you know, wrapped with this new environment where there's actually a cost of capital, th…”

“And back then the Dow is at 700. Interest rates were at 16%. And there were very, very few technology companies with more than a few hundred million in market cap.”

“Personally, I think it will take longer for rates to come down.”

“I have previously said that I thought they were a bit slow to increase rates.”