Are Markets Priced on Fundamentals?

The video discusses the current state of credit risk, emphasizing the importance of fundamentals over technicals, especially for smaller credits. It highlights the Bank of Japan's efforts to influence the yield curve and its implications for US Treasurys. The discussion also covers market dynamics, inflation expectations, and the potential impact of central bank actions on the yield curve. The video concludes with speculation on future yield curve changes and their effects on financial risk.

Discuss the implications of a steeper yield curve as mentioned in the text.

What are the potential outcomes of the Bank of Japan's decisions on financial markets?