Talking Like Volcker, Channeling Burns (guests: Rob Arnott, Brent Kochuba)
The Market Huddle
00:00
Tenyer, Isn't Short Money Shortish?
If the bon market keeps crapping like it is recently, we might still no get inverted in the three month tenure. But unless long rates go up a 75 basis points between now and then, you will have n inversion at that rat. And i think a more sensible course is to let the long end of the old curve govern your behaviour. If you want to tighten the economy, push short rates up to not quite as high as long rates. if you want to bolster the economy, make it a little bit a lower than the long rate. Nobody in fed circles thinks that way. You've got an echo chamber of people who think almost identically alike. I don't know how
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