JPM's Stubbs Says Banks Await Inflation Regime Change

The transcript discusses the normalization of rates and its impact on market volatility, particularly in investment banking. It highlights the role of yield curves in banking profitability and the potential for inflation surprises to affect the bond market. The conversation also touches on the implications of low volatility for market expansion and the potential for a regime change in inflation, which could signal the end of the current economic cycle.

What role does volatility play in the banking business of borrowing short and lending long?

How might domestic inflation impact the bond curve in the coming years?

What is the significance of the yield curve for policymakers according to the text?

What are the potential consequences of low volatility in the market as mentioned in the discussion?

What factors could lead to a regime change in inflation as discussed in the text?