By Mike Dolan LONDON (Reuters) -Extreme bond market agitation has put the Federal Reserve in a bind. It can either cool long-term inflation fears or acquiesce to President-elect Donald Trump's complaints about interest rates being "far too high.
Donald Trump, Federal Reserve
That said, Trump has also expressed an interest in having “at least a say” in monetary policy. Then again, in the same hour on Tuesday, Trump also called for the U.S. to absorb Canada, seize the Panama Canal and Greenland, and rename the Gulf of Mexico the Gulf of America. All or none of that might come to fruition.
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Gold prices rose to a near four-week high on Thursday, supported by safe-haven demand, while investors weighed how US President-elect Donald Trump’s polici..
Extreme bond market agitation has put the Federal Reserve in a bind. It can either cool long-term inflation fears or acquiesce to President-elect Donald Trump's complaints about interest rates being "far too high.
Lobbying by banks helped torpedo a major proposal, and a top regulator announced this week that he would step down from a leadership role.
The Fed has cut its policy rate by a full percentage point since September, yet the 10-year Treasury yield has risen 100 basis points since then. And 30-year yields are rising even faster, threatening to hit 5% for the first time in over a year - just a quarter point from levels since just before the banking crash of 2008.
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