What is the credit market and how does it determine our loan interest rates? It’s actually the same thing as the bond market, and we consumers all participate in it. Join us as we delve into the intricacies of the credit market and how it influences interest rates across various financial products, including credit cards, auto loans, and mortgages. 
 
We will also discuss the yield curve, the role of the Federal Reserve (aka The Fed), and how understanding these concepts can empower consumers to make informed financial decisions. The financial system is interconnected like a giant puzzle. We’re here to help you put all the pieces together and learn how to make the system and your money work for you!
  

Takeaways
✨Interest rates on loans are influenced by the yield curve.

✨The credit market determines interest rates for various loans.

✨The Federal Reserve impacts short-term rates directly.

✨Understanding the yield curve helps in making financial decisions.

✨Consumers can influence the stock market through their spending.

✨Credit card rates are tied to the prime rate, which is influenced by the Fed.

✨Auto loans are typically tied to the middle of the yield curve.

✨Mortgages are related to the 10-year treasury yields.
 
Episodes mentioned:
18. Understanding the Yield Curve 
52. Intro to Bonds

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Market MakeHer is an investing education podcast taught by a 15-year finance expert to her friend, a beginner investor. Our mission is to demystify the stock market and make financial literacy accessible to all self-directed investors! We teach complex investing topics in a different way - from "Her" perspective.

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