The New CS Board

[jumanji0881]

re: "A cessation of tapering by the Fed might prevent the yield from breaking out"

My Comment : What tapering ? Actually if they started tapering (ie bought fewer bonds), rates would rise. But, the Fed just keeps buying more bonds and they will have to buy even more bonds as the government sells bonds to pay for the $1.9Trillion stimulus. They will have to buy a lot of Treasuries to suppress rates. But all of that QE will weaken the US$ and eventually mean more inflation.