There seems to be a view that once inflation hits 2%, intere...

There seems to be a view that once inflation hits 2%, interest rates are going back down to historic lows.
However, markets are now pricing in permanently higher rates.
Markets are pricing that the Fed funds rate will bottom at 4% in 2025 and then start rising again.
The same can be seen in Europe where rates are expected to bottom at 3%.
Higher interest rates are the new normal.
The era of "free money" is over.