2/4 With oil prices elevated and global central banks tightening, would waiting now force the RBI into bigger, more disruptive moves later?
@basispointinsight.bsky.social
@basispointinsight.bsky.social2/4 With oil prices elevated and global central banks tightening, would waiting now force the RBI into bigger, more disruptive moves later?
@market-ocean-en.bsky.socialThe question now is whether buyers come back at these higher yields and break the loop, or whether the bond market tightens financial conditions before policymakers have decided to. #BondYields #Treasuries #InflationRisk
@market-ocean-en.bsky.socialThe question now is whether one strong business report and a pause in oil's decline caused a one-day repricing, or whether markets are returning to a period in which bonds add to risk instead of hedging it. #USTreasuries #BondDuration #InflationRisk
@market-ocean-en.bsky.socialthe inflation question was closed. The question now is not whether the RBA hikes, but how much of the market's current composure rests on evidence and how much on the simple fact that nothing has gone wrong lately. #RBA #InflationRisk #RecencyBias
@basispointinsight.bsky.social5/5 The uncomfortable question is whether markets are now demanding a higher price for duration almost everywhere.
Read Michael Patra’s latest column for BasisPoint: Why Are Bond Yields Unyielding?👇