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How U.S. Treasury Is Fighting The Fed | Nouriel Roubini & Stephen Miran on Treasury’s $800 Billion of “Stealth QE” via “Activist Treasury Issuance” (ATI)

Forward Guidance

NOTE

Comparing U.S. Treasury's Short-term Debt Issuance to Federal Reserve's Quantitative Easing

This chapter delves into the mechanics of how the U.S. Treasury is issuing short-term debt in comparison to longer-term coupon debt, and how it relates to the Federal Reserve's quantitative easing. It explains the relationship between bond prices and yields, the impact of supply and demand on bond prices and yields, and how both quantitative easing by the Fed and the Treasury's form of quantitative easing (ATI) work by manipulating the amount of interest rate risk that investors hold.

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