Surveillance: Central Banks Wake Up
Bloomberg Surveillance
00:00
Is the Fed Preferring Financial Conditions?
The Fed is explicitly telling you that it needs financial conditions to tighten in order to get a grip on inflation. The components of financial conditions got things like mortgage spreads, bonds, and of course stocks. I think the big question in markets right now is why even with all this Fed jaw boning, why financial conditions haven't tightened more? Why are investors dragging their feet when it comes to this issue?
Play episode from 23:07
Transcript
