Currently, the federal reserve interest rate is 0-0.25%, and the inflation is 2-3%. Does this contradict the no-arbitrage principle? (The arbitrage being: borrow money at 0.25% and invest it in the ...
I heard not long ago that because of inflation rising up in China, the China Bank will rise its interest rate of 0.25%. I am quite new to the financial world and do not really understand how this is ...