Peter Hahn: U.K. Interest Rates Have to Increase

The video discusses potential changes in interest rates within the UK and Europe over the next few years, considering factors like weak sterling and inflation. It challenges the historical view that real rates are stable, suggesting they have fluctuated significantly. The discussion also covers the implications of a trade deficit on UK rates, predicting they may need to rise to attract foreign investment, especially if US rates increase.

Discuss the implications of inflation on interest rates as mentioned in the text.

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What is the expected range for UK interest rates if US rates are around 2 or 3%?

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