3 minutes regarding yield curve with Santelli- CNBC
Everybody is talking about next recession and next stock market
crash because of FED tightening too much . 2019 or 2020 ?
Maybe somebody should fire FED and take in consideration 10 year
bond yield . 1. subtract 1% from 10 years bond yield and we will
have the optimal Fed Funds rate 2. we will never have an inverted
yield curve 3. we will never have an artificial recession (
earnings recession and market crash ) produced by FED stupidity
like in the past.
For example : 10 year bond yield is 3,1 % subtract 1 % optimal
fed funds rate should be 2,1 % yield curve = 1 % = profit for banks
and credit for economy If yield curve is flat or inverted = no
profits for banks = no credit for economy = economic recession =
earnings recession = stock market crash
Fed should not raise to 2,5 % in December only if 10 years bond
yield will be 3,5 % .
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3 minutes regarding yield curve
Posted by polish1 on 27th of Sep 2018 at 04:16 pm
3 minutes regarding yield curve with Santelli- CNBC
Everybody is talking about next recession and next stock market crash because of FED tightening too much . 2019 or 2020 ?
Maybe somebody should fire FED and take in consideration 10 year bond yield . 1. subtract 1% from 10 years bond yield and we will have the optimal Fed Funds rate 2. we will never have an inverted yield curve 3. we will never have an artificial recession ( earnings recession and market crash ) produced by FED stupidity like in the past.
For example : 10 year bond yield is 3,1 % subtract 1 % optimal fed funds rate should be 2,1 % yield curve = 1 % = profit for banks and credit for economy If yield curve is flat or inverted = no profits for banks = no credit for economy = economic recession = earnings recession = stock market crash
Fed should not raise to 2,5 % in December only if 10 years bond yield will be 3,5 % .