Pimco's Clarida Finds Inflation Risk Mispriced by Markets

The transcript discusses the mispricing of inflation risk and the attractiveness of current market valuations. It explores the steepening of the yield curve, influenced by both technical and fundamental factors, including inflation risk and reduced concerns about China's economy. The global bond market dynamics are examined, highlighting the lack of term premium and the impact of monetary policy on financial intermediation. The discussion also covers the effects of negative rates on banks and savings, and anticipates modest fiscal stimulus in the US, Japan, and Europe.

How does the teacher view the impact of negative interest rates on financial institutions?

In what ways does the teacher suggest that the savings rate in the US has changed over the years?

What is the teacher's outlook on fiscal stimulus in the US and its potential effects?