U.S. Treasury Yields Could Go Lower, Says Pictet’s Gaud

The transcript discusses the Federal Reserve's recent decision not to act on domestic economic conditions, despite weak US data, due to global concerns like deceleration in global growth and trade tensions. The decision has impacted the treasury market, with yields dropping. Inflation was not a primary focus, but the Fed acknowledged declining inflation expectations and cut its forecast. The transcript suggests that future economic measures may require both monetary and fiscal interventions to support the economy.

What is one of the main reasons the Fed did not take action according to the recent statement?

• Rising global concerns

• Domestic economic instability

• Strong trade agreements

• High inflation rates

How did the Fed's statement affect the treasury market?

• Yields increased significantly

• Yields remained stable

• Yields dropped significantly

• Yields were unaffected

What was notably absent from the Fed's recent statement?

• Discussion on inflation

• Mention of global trade tensions

• Reference to fiscal policies

• Focus on domestic growth

What is the Fed's revised inflation forecast for the year?

• 1.2%

• 1.5%

• 1.8%

• 2.0%

What additional measures are suggested to support the economy besides monetary policy?

• Fiscal measures

• Increased trade tariffs

• Stricter banking regulations

• Higher interest rates