According to Odaily, US Federal Reserve Board member Waller has indicated that the rise in the yield of the US 10-year Treasury bond could be a potential impact of the tightening policy. He further noted a disconnect in people's views between the pace of interest rate hikes and expected rate cuts. This statement comes amidst ongoing discussions about the future direction of monetary policy in the United States.
The rise in the yield of the 10-year Treasury bond is a significant indicator of the state of the economy. It is often seen as a reflection of investor confidence in the economic outlook. The tightening policy, which involves raising interest rates and reducing the money supply, can have a significant impact on bond yields.
Waller's comments highlight the complexities of managing monetary policy. The pace of interest rate hikes and the timing of expected rate cuts can have a significant impact on the economy. These decisions are often influenced by a range of factors, including economic data, market conditions, and policy objectives.
This news underscores the importance of understanding the potential impacts of monetary policy decisions. It also highlights the need for clear communication from policy makers to ensure that the public and investors have a clear understanding of the direction of monetary policy.