In recent months, various US agencies such as the Federal Reserve and the Federal Deposit Insurance Corporation have been trying to assess the potential damage of a sudden increase in interest rates....

In recent months, various US agencies such as the Federal Reserve and the Federal Deposit Insurance Corporation have been trying to assess the potential damage of a sudden increase in interest rates. Currently (April 2011), rates in the US are very low and the bond market has been shaken by the recent announcement by PIMCO, the largest United States bond fund, that it is shorting or selling its US Treasury bonds.