Warsh appointment is noise
Signal:
The FED doesn't control the interest rates. Who cares what the short-term (T-bills + T-notes) rate is? No one should. 10yr+ bonds is what counts. Fewer buyers of US bonds is the problem: a strong signal that the world/market no longer trusts US-bonds as reliable store of value. Yield curve control (YCC) is also a BS term. Call it what it is: they (FED) step in and buy the unwanted bonds with printed money to keep the rates lower. $7-8 trillion is due (rolling over) in 2026 and they will likely have to print (= YCC) to make sure rates don't spike.
Full on ponzi
Buy and hold real money they cant print
Signal:
The FED doesn't control the interest rates. Who cares what the short-term (T-bills + T-notes) rate is? No one should. 10yr+ bonds is what counts. Fewer buyers of US bonds is the problem: a strong signal that the world/market no longer trusts US-bonds as reliable store of value. Yield curve control (YCC) is also a BS term. Call it what it is: they (FED) step in and buy the unwanted bonds with printed money to keep the rates lower. $7-8 trillion is due (rolling over) in 2026 and they will likely have to print (= YCC) to make sure rates don't spike.
Full on ponzi
Buy and hold real money they cant print
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