Negative Interest Rates Could Go As Low As 4.5%: JPMorgan Shocker

There is nothing stopping the Federal Reserve from going negative on interest rates, Fed Chair Janet Yellen told Congress, but they are investigating the legality of the potential move.  Yellen’s testimony comes as a JPMorgan report notes with negative rates “The bound is lower than you think” as the bank becomes somewhat of a cheerleader for negative rates. Rates in Europe could go as low as -4.5% the bank said. Yesterday the Fed was reported to be engaging in modeling for negative interest rates. Negative interest rates won’t necessarily be negative for banks In a special report, JPMorgan analysis indicates…