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Past Peak Hawkishness (guest: Barry Knapp)

The Market Huddle

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Is Quantitative Tightening a Policy Tool?

At the beginning of this year, the real ten year treasury yield was negative a hundred and ten basis points. The only time it was ever larger at was more negative than that, was in march of 20 20. So they have a mass, massive misunderstanding of the implications of their acid purchases. And there would have been a million ways for them to just stop without tapering the acid purchases. They could have ended at coal turkey. The market would have been just fine. This is just crazy. I mean, that includes the sixties, seventies, eighties. It like all time lows, just a cra level of price setting.

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