Markets Are Forced to React to Extreme Risk Scenarios, Preusser Says

The transcript discusses the current market conditions, highlighting the potential for negative yields in the US and the loss of traditional market anchors. It explores extreme risk scenarios, including the possibility of US rates reaching zero, either due to effective or ineffective rate cuts. The discussion also covers the impact of trade tensions and the potential for bullish market scenarios, emphasizing the increased weighting of extreme scenarios in market assessments.

What could happen if the rate cuts work according to the speaker?

How does the rates market reflect the weighting of extreme scenarios?