The 40-Year Low Rate Era Is Dead: Bloomberg Economists Map a 2.8% Future
The 40-Year Low Rate Era Is Dead: Bloomberg Economists Map a 2.8% Future 2026-06-06 | By DailyPro2025 Analysis Team Table of Contents Eight Structural Drivers of a Higher-Rate World Korea's Rate Path: Two More Hikes This Year Stablecoins: From Crypto Shelter to Global Payment Backbone Machine-to-Machine Payments: Stablecoins as the AI Economy's Settlement Layer Korea's Think Tank Crisis: Zero S-Grades in National Research Evaluation Strategic Implications: Investing in a Higher-Rate World My Take Bloomberg Economics has declared it officially: the 40-year era of low interest rates is over. In their new book "Money Shock," the Bloomberg team presents a detailed scenario where the US 10-year natural real interest rate — the so-called R* or neutral rate that balances saving and investment — bottomed at 1.7% in the mid-2010s, rose to 2.3% by 2022, and will peak at 2.8% by the 2030s. That would be the highest neutral rate since before the 2008 Global F...