The yield on 10-year U.S. Treasuries is up almost 40 basis points so far this year, which means it’s been gaining on the fed funds rate and reducing the prospect of full inversion of the yield curve. Why have rates been going up?
Category Archives: financial markets
Open Economy Macro in the 2006 Economic Report of the President
Beryl Sprinkel meets Ben Bernanke
Gold and inflation
What’s behind the ongoing run-up in gold prices? One popular interpretation is that investors fear a resurgence of U.S. inflation. But that story just doesn’t square with the facts.
Should the Fed worry about going too far?
I wanted to weigh in on the exchange between Kash Mansori at Angry Bear and Dave Altig at Macroblog.
What’s the Fed waiting for?
The Fed is likely to stop raising rates soon. What will be the final signal that enough is enough?
Who’s afraid of the big bad yield curve?
Lots of talk this week of an inverted yield curve, such as
Macroblog, Big Picture,
Economist’s View,
Hypothetical Bias, and Mises Economics Blog. What’s the big deal?
The real yield curve
Economist’s View reported last week on a letter from Alan Greenspan that addressed some questions about monetary policy posed for the Fed Chair by Representative Jim Saxton (R-NJ). I was particularly interested in Greenspan’s explanation of why he is not concerned about the seemingly bearish connotations of the slope of the yield curve.
Investing in gold
Should you be looking at gold as an investment?
Facing the latest economic data
Here are a few thoughts about some of the economic news that’s been coming in over the last few weeks.
Inverted yield curve edges closer
If you haven’t been worrying about the possibility of an inverted yield curve, now might be a good time to start.