Pimco's Schneider on Libor, Negative Rates

The transcript discusses the changes in the Libor rate, emphasizing that these are structural rather than indicative of financial instability like in 2008. It highlights the impact of negative interest rates on investment opportunities and the need for non-U.S. banks to secure U.S. dollar funding. The discussion also covers the repricing of risk and the effects of regulatory changes on bank funding costs, noting that these are long-term structural changes rather than temporary aberrations.

What are the primary differences between the current financial situation and that of 2008?

How has the money market reform influenced the Libor rates?

What unique opportunities do negative interest rates create for U.S. investors?

How do negative interest rates affect the behavior of financial institutions?

What does the increase in Libor rates signify in terms of structural changes in the financial system?

What are the implications of the current Libor rates for banks seeking term financing?

In what ways have banks adjusted their funding strategies in response to changes in the market?