The Fed Knows Something We Don’t With Adam Kobeissi
Lead-Lag Live
00:00
The Fed Wants to Invert the Yield Curve
There's a mechanism there, right? In terms of incentivizing banks to blend them. The more invert it is, the less credit flow you're going to have. That's again, typically a sign of recession is also you can argue a cause of it. But I don't even think the Fed is really that concerned. They think, all right, well, we haven't had a recession in one of the longest periods in history without a recession. So if raising rates aggressively means that we're not, we're going to avoid inflation being entrenched in the economy and they don't really care if it's inverted.
Play episode from 11:00
Transcript
