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How can we project June”s AFR Rate?

L1: How can we project June”s AFR Rate?Quick question on how to forecast future 72t AFR rates. Is there an applicable bond rate to follow? Are daily rates published anywhere? What days are used to calculate June’s rate?
I have a client that is retiring in June but is worried that the 2 prior months at 3.80% and 3.81% are too low for his needed income.
Badger’s book is incredilble. Thanks for all of your help.
Chris2004-04-27 14:00, By: Chris, IP: [65.42.195.110]

L2: How can we project June””s AFR Rate?Suggest that you watch the 5-year treasury – sometimes it works and sometimes it doesn’t – there is a graph on out interest rate page at http://72t.net/ED_Rates.aspxright below the AFR graph.
2004-04-27 14:02, By: Gfw, IP: [12.221.34.192]

L2: How can we project June””s AFR Rate?Hello Chris:
The mid-term AFR is based on the market pricing of US Treasury securities of 3 to 9 years in maturity. Which days they actually use I am uncertain; however, the next month’s rate typically is published around the 20th to 25th of the month preceeding. As a result, I just keep an eye on the 5yr and 10yr treasuries for the first 20 days of the month; more or less averaging the change in yields on both of them in my head.
Asa result, assuming nothing major happens in the first 15 days of May. my personal guess is that the June mid-term AFR should be up 20bps to 30bps. Having said that, watch me be dead wrong.
TheBadger
wjstecker@wispertel.net
2004-04-27 14:07, By: TheBadger, IP: [66.250.23.21]

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