Marc Chandler – The Effects Of Central Bank Tightening On Bond Yields
Marc Chandler, Managing Partner at Bannockburn Global ForEx and Editor of the Marc to Market website, joins us to discuss the trend in global central bank tightening policies and the effects these are are having in the bond market. We look at the interesting phenomenon of bonds getting a bid and driving down treasury yields in many countries, even as central banks start to pull back their accommodative buying. Next we get Mark’s thoughts on how the Fed is viewing both inflation and the labor markets, with PPI and CPI data expected to be released next week. We also review the recent action in the US Dollar and where things are headed in the currencies. This all ties into the changes in market expectations for Fed policy as we move to next year and a possible rate hike scenario.