by Cut below from the H.8 highlighting nsa Urealized Gains on Available for Sale Securities have already turned positive during the current debt ceiling induced bond rally.If Fed reduces the policy rate this month/year then this gain should perhaps increase an additional 10s of $B based on the magnitude of last year losses you can see here when Fed was doing a quarterly series of 0.25% increases.Rate cuts this year should have perhaps the opposite effect and then we can observe the changes induced in risk asset prices which should ideally increase if we get big unrealized gains here due to a reversal in interest rate policy...
Topics:
Mike Norman considers the following as important:
This could be interesting, too:
Jeremy Smith writes UK workers’ pay over 6 years – just about keeping up with inflation (but one sector does much better…)
Robert Vienneau writes The Emergence of Triple Switching and the Rarity of Reswitching Explained
Lars Pålsson Syll writes Schuldenbremse bye bye
Robert Skidelsky writes Lord Skidelsky to ask His Majesty’s Government what is their policy with regard to the Ukraine war following the new policy of the government of the United States of America.
Cut below from the H.8 highlighting nsa Urealized Gains on Available for Sale Securities have already turned positive during the current debt ceiling induced bond rally.
If Fed reduces the policy rate this month/year then this gain should perhaps increase an additional 10s of $B based on the magnitude of last year losses you can see here when Fed was doing a quarterly series of 0.25% increases.
Rate cuts this year should have perhaps the opposite effect and then we can observe the changes induced in risk asset prices which should ideally increase if we get big unrealized gains here due to a reversal in interest rate policy...
