Kathy Jones on the Current Economic Slowdown, Quantitative Tightening, and the Fed’s New Framework
Macro Musings with David Beckworth
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Is the Fed a More Important Player in the Treasury Market?
In march 20 20, there was a big treasury market melt down. Theres going to be pressure, probably, no matter what happened. As i fixed income strategists, were you aware of these structural problems that helped contribute least to what we saw? I'm not too surprised it turned out the way it did. There was tremendous scramble for liquidity. When all else is dying, everybody goes to shortram treasuries and they're willing to actually hold them and pay a fee to hold them if you want safety liquidity. So that didn't shock me too much,. but i think you're clearly, the magnitude of it was pretty surprising.
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