Real Yields Paint Bleak Picture for Global Markets

The video discusses the bleak outlook of real yields in developed markets, focusing on the US, Germany, and Japan. It explores the impact of inflation on nominal and real interest rates, and the significant spread between US treasuries and other sovereign papers. The analysis extends to currency pairs, particularly the euro and yen, and their relationship with yield spreads. The role of central bankers and the Fed's sensitivity to the dollar are highlighted, emphasizing the global calculus involved in interest rate decisions.

What factors contribute to the negative real yields in developed markets?

How does the spread between US treasuries and German bonds reflect on the economic situation?

What implications does the dollar's structural top have on its value relative to other currencies?

In what ways do central bankers influence the dollar's strength through interest rate decisions?

What role does foreign quantitative easing play in the US treasury yields?