All posts by Daniel Lacalle
Yield Curve Control: Bubbles And Stagnation
Central banks do not manage risk, they disguise it. You know you live in a bubble when a small bounce in sovereign bond yields generates an immediate panic reaction from central banks trying to prevent those yields from rising further. It is particularly more evident when the alleged soar in yields comes after years of artificially depressing them with negative rates and asset purchases.
Continue reading Yield Curve Control: Bubbles And Stagnation