00:00The Secretary had to know that it would be limited, but I think he did it anyway.
00:06And what his actual intention was, I think, is a little unclear.
00:09Did he think he was really going to move the long end, given the size of the intervention that he
00:15was involved in?
00:16And then we were able to report the next day that they were actually telling us that there was more
00:21to the intervention than it seemed,
00:23because they could potentially use the Treasury General account.
00:26So they upped the ante a little bit there.
00:28I do think he wants to keep a lid on rates.
00:31I take a middle ground on this with the Treasury Secretary.
00:34I think he knows he can't stop the bond market from where it wants to go,
00:40but perhaps he can make it go a little bit slower in a time of August that I think Rick
00:45would agree.
00:45It can be a little bit thin markets, especially when it comes to those off-the-run securities.
00:49So I think we could count on the Treasury Secretary to understand markets and somehow be persuaded by political exigencies
00:59that are out there.
01:00On the data, Joe, it really just gets to the debate at the Fed.
01:04You still have PCE inflation running above the Fed's target.
01:09And the question is, what should they do about it?
01:12The committee is divided on this.
01:14We don't necessarily know the framework of the chairman.
01:17So that's a question as to whether or not we're going to get a little bit more understanding here come
01:22Friday
01:22on his idea of how all of this works and what the Fed's role is.
Commenti