HG's Goetti: Inflation Bets Overblown

The video discusses the movements in treasury yields and inflation, highlighting the role of CPI inflation and the velocity of money in the economy. It examines market dislocations, the relationship between treasury yields and the Bloomberg Dollar Index, and the Federal Reserve's rate hike expectations. The video also explores investment strategies in response to rising inflation expectations, focusing on commodities, the green economy, and the potential shift from growth to value stocks.

What is necessary for CPI inflation to occur according to the video?

• Increase in commodity prices

• Decrease in interest rates

• Increase in the velocity of money

• Decrease in the labor market

What is the current state of the yield curve as discussed in the video?

• Inverted

• Flat

• Steep

• Unchanged

What is the market's expectation for the first rate hike from the Fed?

• Late 2022

• Early 2022

• Mid 2023

• Late 2021

Which sector is suggested to benefit from a steeper yield curve?

• Healthcare

• Retail

• Banking

• Technology

What is the suggested investment strategy by Morgan Stanley in response to rising inflation expectations?

• Invest in gold

• Short gold against copper

• Invest in real estate

• Buy government bonds