In the last week Lyn Alden Tweeted how the Fed could be aggressive and do another Operation Twist to try to cap long term US Treasury yields rising.
Tweet here: https://mobile.twitter.com/LynAldenCo...?EUR<
Sign up for Lyn's free global macro newsletter here: https://www.lynalden.com/?EUR<
However, an Operation Twist of the Fed switching its bond purchases more to 10 year, 20 year and 30 year US Treasuries would not solve the main problems. It would, at best, just be a short term, stop gap "solution."
Track the US Treasury yield curve for free here: https://www.gurufocus.com/yield_curve...?EUR<
Some problems are already emerging with the sheer amount of US Treasuries needed to be sold in just the last week: 1) Treasury Yields Explode After Catastrophic, Tailing 7Y Auction https://www.zerohedge.com/markets/tre...?EUR< 2) Wall Street Sends a Message to the Fed: We Have Run Out of Places to Stuff Your Treasuries https://wallstreetonparade.com/2021/0...
Commit to tipping us monthly for our hard work creating high level, thought provoking content that includes interviews with top experts, analysis and short videos about investing and the economy https://www.patreon.com/wallstformainst?EUR<?EUR<
Jason Burack is an investor, entrepreneur, financial historian, Austrian School economist, and contrarian. Jason co-founded the startup financial education company Wall St for Main St, LLC, to try to help the people of Main Street by teaching them the knowledge, skills, research methods, and investing expertise of Wall Street. You can also find Jason's work at his blog website at www.jasonburack.com.