Why Are Traditional Investors So Hungry for Yield Curve Control?
When FOMC minutes suggested the Federal Reserve might not employ yield curve control, the markets reacted angrily.
Fed Chair Jerome Powell's challenge is to convince traders he's got the resolve to respond to runaway inflation, without actually doing anything.
The question is whether Powell will allow bond yields to keep rising or if the Fed will step in to ward off any unwanted market reaction.
This was a significant increase from the 2.4% officials were predicting in March.
The central bank doesn’t want to pull back asset purchases just yet, Powell said Wednesday.
The U.S. central bank said interest rates will remain close to zero.