Why is the Market Sending Mixed Inflation Signals?

Real Vision

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The Big Conversation | Refinitiv

This week Real Vision’s Max Wiethe breaks down the mixed signals coming from the market and hard economic data surrounding the inflation vs. deflation debate. Bonds have rallied over the past 3-months sending yields lower in spite of the fact that concerns around inflation continue. Using Refinitiv’s data, Wiethe examines this divergence between indicators like Core CPI and bond yields, the factors like Treasury issuance and low growth fears that may be driving this divergence, and the historical implication for other asset classes should yields move one way or the other.

Originally Posted on August 11, 2021

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