Greenspan Predicts Rapidly Rising Rates – NMP Skip to main content

Greenspan Predicts Rapidly Rising Rates

Aug 19, 2016
Greenspan

Alan Greenspan is looking into his crystal ball and he forecasts rising interest rates rising with a speed that we may not have expected.

In a Bloomberg Radio interview to be aired this weekend, the former chairman of the Federal Reserve used his Criswell-worthy powers to predict the days of the historically low rates were coming to a close.

“I cannot perceive that we can maintain these levels of interest rates for very much longer,” he said. “They have to start to move up and when they do they could move up and surprise us with the degree of rapidity which may occur.”

Greenspan also dropped a troubling prediction that the U.S. economy was on the path to stagflation. “The very early stages are becoming evident,” he said, noting that rising unit labor costs and accelerating money supply growth were creating this potential miasma.

Greenspan also saw little future for a post-Brexit Eurozone. “It will break down, as indeed it is showing signs of in many different areas,” he said, calling the Eurozone concept “unworkable.”

About the author
Published
Aug 19, 2016
Jobs Report Comes In Weak After Mortgage Rates Surge

Employers added just 29,000 jobs in September, sending Treasury yields lower and offering a potential counterweight to the recent rise in mortgage rates

Oct 02, 2026
Price Cuts Hit Four-Year High As Mortgage Rates Top 7%

More than one in five listings took a price cut in September, but pending sales still posted their sharpest annual decline since March 2025

Oct 01, 2026
Serious Mortgage Delinquencies Rise 19% After Five Months Of Improvement

ICE data shows 574,000 mortgages were at least 90 days past due in August, while early-stage delinquencies remained below year-ago levels

Sep 29, 2026
Smaller Down Payments Give Buyers More Room, But Rates Limit The Savings

The typical down payment fell 9% from a year ago, while shifting market conditions are giving originators different affordability conversations across the country

Sep 25, 2026
Mortgage Rates Break 7% Just As Builders Find A Way To Move Buyers

New-home sales rose 6.4% in August as builders cut prices, offered incentives, and sold more lower-priced homes. Now mortgage rates are moving against buyers again

Sep 25, 2026
Borrowers Want Digital Closings, But Some Originators Remain Hesitant

ServiceLink finds 45% of surveyed LOs cite borrower reluctance as a barrier, even though most recent buyers say digital options would influence their choice of mortgage provider

Sep 23, 2026