UBS' Tay Sees More Volatile Market Ahead

The video discusses the current state of the treasury market, highlighting the rise in US 2-year yield and the significance of upcoming treasury auctions. It explores the correlation between global volatility and stock market recovery, emphasizing that recent market corrections were technical rather than fundamental. The discussion also covers potential risks posed by inflation, which could lead to adjustments in treasury yields and impact equity markets. The speaker suggests that while volatility may increase, positive market returns are still expected.

What does the speaker mean by saying that volatility is getting back to normal levels?

What role does inflation play in the context of treasury markets and equities?