Upside-Down?
Picture Credit: National Library of Ireland on The Commons || Interest rates always move in lockstep, right?
So the Fed loosened 0.50%. Long past the time it should have done so. What was the result on the long end of the Treasury yield curve?
Well, look at that! As the Fed cut the short-term policy rate, yields in the portion of the yield that matter more rose. And as an example, yields on 30-year MBS (mortgage backed securities) rose by 0.04% in yield. 15-year MBS rose by 0.02%. All of the yield curve rose from 1 year our to 30 years.
50 basis points of loosening was an upward surprise, so I take the steepening move in the yield curve as an expression that the market expects fewer cuts in the future, perhaps due to rising inflation, or just an unwillingness to lend more without additional compensation. I mean you two horrendously lousy presidential candidates making extreme promises to make the deficit even bigger. The GDP of the US grew faster when we ran balanced budgets — admittedly long ago. But fools think national credit is unlimited, and the grand enabler of that fantasy is the Federal Reserve.
Now, this just a day. Let ‘s watch what happens. The steepening could reverse, and even more so. But if this persists and goes further, you could see the Fed questioning whether they want to loosen more. Remember, the Fed is a slave to the bond market, not vice-versa.
Anyway, watch the slope of the yield curve. It tells you more about what is going on than the yammering of the Fed.
Source: https://alephblog.com/2024/09/19/upside-down/
Anyone can join.
Anyone can contribute.
Anyone can become informed about their world.
"United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.
Before It’s News® is a community of individuals who report on what’s going on around them, from all around the world. Anyone can join. Anyone can contribute. Anyone can become informed about their world. "United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.
LION'S MANE PRODUCT
Try Our Lion’s Mane WHOLE MIND Nootropic Blend 60 Capsules
Mushrooms are having a moment. One fabulous fungus in particular, lion’s mane, may help improve memory, depression and anxiety symptoms. They are also an excellent source of nutrients that show promise as a therapy for dementia, and other neurodegenerative diseases. If you’re living with anxiety or depression, you may be curious about all the therapy options out there — including the natural ones.Our Lion’s Mane WHOLE MIND Nootropic Blend has been formulated to utilize the potency of Lion’s mane but also include the benefits of four other Highly Beneficial Mushrooms. Synergistically, they work together to Build your health through improving cognitive function and immunity regardless of your age. Our Nootropic not only improves your Cognitive Function and Activates your Immune System, but it benefits growth of Essential Gut Flora, further enhancing your Vitality.
Our Formula includes: Lion’s Mane Mushrooms which Increase Brain Power through nerve growth, lessen anxiety, reduce depression, and improve concentration. Its an excellent adaptogen, promotes sleep and improves immunity. Shiitake Mushrooms which Fight cancer cells and infectious disease, boost the immune system, promotes brain function, and serves as a source of B vitamins. Maitake Mushrooms which regulate blood sugar levels of diabetics, reduce hypertension and boosts the immune system. Reishi Mushrooms which Fight inflammation, liver disease, fatigue, tumor growth and cancer. They Improve skin disorders and soothes digestive problems, stomach ulcers and leaky gut syndrome. Chaga Mushrooms which have anti-aging effects, boost immune function, improve stamina and athletic performance, even act as a natural aphrodisiac, fighting diabetes and improving liver function. Try Our Lion’s Mane WHOLE MIND Nootropic Blend 60 Capsules Today. Be 100% Satisfied or Receive a Full Money Back Guarantee. Order Yours Today by Following This Link.
| Online: | |
| Visits: | 1,639,858,583 |
| Stories: | 8,248,494 |
Whistler Blowers, Insiders
