Why Pimco’s Crescenzi Sees Value in Front End of Yield Curve

The video discusses inflation trends following COVID-19, projecting a rise in the Consumer Price Index (CPI) to 2.2% by the end of 2022, with implications for Federal Reserve policy. The Fed is unlikely to raise rates until inflation exceeds 2% for a year. Market expectations suggest a rate hike by the end of 2023, offering opportunities in the yield curve.

What does the market expect regarding the timing of the first rate hike by the Fed?

What implications does the text suggest about the yield curve and the Fed's potential actions?