Morning Meeting: A Steepening Yield Curve and Inflation

The transcript discusses the recent changes in yield curves, particularly focusing on the steepening trend and its implications for the global economy. Martin Haggerty from BlackRock provides insights into how central banks, especially the Bank of Japan, are recalibrating policies that affect yield curves. The discussion covers the impact of these changes on currency, inflation expectations, and investment strategies. The conversation also touches on market reactions and the potential for shifts in investment strategies, particularly in inflation-linked bonds, due to perceived market dislocations and inflation pressures.

What is the significance of the term premium in the context of the treasury curve?

What strategies are being considered in response to the current inflation pressures?

How does the current pricing of inflation-linked securities compare to the Fed's inflation target?