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Section_4_Output.txt
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Section_4_Output.txt
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The Capital section focuses on analyzing interest rates and inflation rates at the national level. The data provided in the `sec4_capital_data.csv` file includes monthly rates for 30-Year, 10-Year, and 1-Year interest rates, as well as the inflation rate, from November 2023 to October 2024.
### Analysis:
1. **Interest Rates:**
- **30-Year Interest Rate:**
- The rate fluctuated between 4.04% and 4.66% over the period.
- The highest rate was recorded in April 2024 at 4.66%, while the lowest was in September 2024 at 4.04%.
- **10-Year Interest Rate:**
- The rate ranged from 3.72% to 4.54%.
- The highest rate was in April 2024 at 4.54%, and the lowest was in September 2024 at 3.72%.
- **1-Year Interest Rate:**
- The rate varied between 4.03% and 5.28%.
- The highest rate was in November 2023 at 5.28%, and the lowest was in September 2024 at 4.03%.
2. **Inflation Rate:**
- The inflation rate decreased from 3.47% in November 2023 to 2.65% in September 2024.
- The highest inflation rate during this period was 3.47% in November 2023, and the lowest was 2.65% in September 2024.
### Observations:
- There is a general trend of decreasing inflation rates over the period, which could indicate a stabilizing economy.
- Interest rates for different terms show fluctuations, with the 1-Year interest rate being the most volatile.
- The decrease in inflation rates might be contributing to the stabilization or slight decrease in interest rates, particularly for the longer-term rates.
This analysis provides insights into the capital market conditions over the specified period, highlighting trends in interest rates and inflation that could impact economic decisions and policies.