U.S. 10 Year Treasury yield above 5%, 16 year high.

[StraightEdge]

10-year Treasury yield climbs back above 5%

U.S. Treasury yields ticked higher, hovering just below multiyear highs as investors continue to assess the prospect of higher-for-longer interest rates.

www.cnbc.com

Now you know why corporate bankruptcies are so high and people can barely afford a home loan.

 

[TriptiD]

It is only because the FOMC has set itself an arbitrarily stupid inflation goal of 2% for core PCE inflation, which is not mandated by Congress.

 

[Communism]

It is only because the FOMC has set itself an arbitrarily stupid inflation goal of 2% for core PCE inflation, which is not mandated by Congress.

The 2% target is the fabrication.


The actual target specified by congress is obviously 0% inflation (Stable Prices).

 

[flameboard]

The 2% target is the fabrication.


The actual target specified by congress is obviously 0% inflation (Stable Prices).

care to elaborate? 2% inflation is promoted as ideal/ stable because it promotes moving of money because it would devalue over time. This way people try to make more money.

when did congress expect 0%

 

[Communism]

care to elaborate? 2% inflation is promoted as ideal/ stable because it promotes moving of money because it would devalue over time. This way people try to make more money.

when did congress expect 0%

The Federal Reserve's Dual Mandate that was set by Congress was "Full Employment" and "Stable Prices".


The 2% inflation target was made up by the Fed to give an excuse to set negative real interest rates to juice inflation to counteract the deflation imported from China.


Given the deliberate decoupling from China by Washington, don't expect 0% interest rates for any significant length of time any time in the foreseeable future.


The Era of 0% interest rates was a historical anomaly born from the secret U.S.-China economic alliance.


With the death of the political power of the economic oligarchs in the U.S., the Policy Hawks and the Populists in the U.S. will likely never allow that Golden Era of Global Development to return.


One can see this play out in real time in the U.S.'s insane sanctions on Nvidia as punishment for Jensen attempting to lobby Washington to stop committing economic suicide.


Tim Cook, Jensen Huang, Pat Gelsinger, Lisa Su, and Wall Street no longer have the political clout needed to maintain the global economic interconnectedness that made that development possible.

 

[TriptiD]

The 2% target is the fabrication.


The actual target specified by congress is obviously 0% inflation (Stable Prices).

The mandate from Congress is maximum employment, stable prices and moderate interest rates.

Stable prices does not mean constant prices. 0% inflation target is a silly and dangerous idea that increases deflationary risks and has been debunked.

The 2% target, measured as year on year change in the core PCE deflator index, is arbitrarily chosen. India has a 4% target. Historically, the US has undershot the target and can allow some overshot to make up for the cumulative depression of the index as a result or can change the target to a more reasonable number or use a different reference.

 

[Communism]

The mandate from Congress is maximum employment, stable prices and moderate interest rates.

Stable prices does not mean constant prices. 0% inflation target is a silly and dangerous idea that increases deflationary risks and has been debunked.

The 2% target, measured as year on year change in the core PCE deflator index, is arbitrarily chosen. India has a 4% target. Historically, the US has undershot the target and can allow some overshot to make up for the cumulative depression of the index as a result or can change the target to a more reasonable number or use a different reference.

Redefining words doesn't change the original intent.


I'm describing what actually happened.


You are giving the official narrative, which is laughable.


The CPI is massively manipulated (down) anyways.


0% inflation target works fine, capitalists simply don't like it, as it sets the requirement for actual progress/productivity, not fake printing.

 

[TriptiD]

Redefining words doesn't change the original intent.


I'm describing what actually happened.


You are giving the official narrative, which is laughable.


The CPI is massively manipulated (down) anyways.


0% inflation target works fine, capitalists simply don't like it, as it sets the requirement for actual progress/productivity, not fake printing.

That is so stupid that I don't even know where to start to reply. Ignored for sheer stupidity.