State Street's Kassam on Inflation, Employment Numbers

The video discusses the Federal Reserve's role in managing inflation and the potential risks of being behind the curve. It examines the Fed's data-driven policy approach, the impact of employment figures, and market predictions for interest rates. The discussion also covers inflation hedging strategies, including traditional methods and the potential role of Bitcoin, emphasizing real commodities and safe haven currencies as effective hedges.

What is the main concern regarding the Federal Reserve's current position?

• The Fed is behind the curve in addressing inflation.

• The Fed is too aggressive in raising rates.

• The Fed is ignoring global economic trends.

• The Fed is focusing too much on employment.

How many rate hikes is the market expecting by the end of 2023?

• Four

• Five

• Six

• Three

What is the expected terminal rate for the current cycle?

• 1.23%

• 3.50%

• 0.75%

• 2.00%

Which of the following is NOT considered a traditional hedge against inflation?

• Commodities

• Bonds

• Yen

• Bitcoin

What is the correlation coefficient between Bitcoin and tenure break evens mentioned in the discussion?

• 0.9

• 0.7

• 0.5

• 1.0