Flame — HabitableZone

Flame » in reply to I'm Sure You're Smart Enough To See The Connection

Same with interest rates and banks

when the rates rise the margin as percentage remains the same. But the net margin shoots thru the roof. This is moderated a bit in banking, though because they have an immediate decrease in sales, when rates go up. Not so in the energy sector - we are addicted to oil and will pay any price.

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