United States, FED, Delvin Dhabi discussed on BTV Simulcast
Four the US going on defense been struggling to get inflation up. I mean, you look at the balance sheet expansion from eight hundred billion dollars to four point five trillion at peak in twenty fifteen now the market appears to be growing warmly towards the idea of an additional rate cut sooner rather than later this week consigliere, why is it so difficult for the fed to get these numbers? I think a number of reasons for the for inflation to remain low not on the US by in the rest of the world. And the the numbers of we saw on on Friday. Below his petition and these confirmation that we are living in the way that knowing Felicien at least on the core side goes consumption information price index was was over at the PPI was ISO. We have a higher inflation's. Macho were core inflation. Let's just take the corn inflation subject full because person can subject expense was one point three percent. This is what Charlie Evans in two weeks ago. Made the point that he would definitely be thinking about talking about insurance by cutting rates. Do you think we're gonna see more about rate cuts in the United States of America, the market's pricing and twenty five bits of the moment. I think the big ahead of them, so speculations my base case scenario is that the fed that wants to be out of the picture at least for two thousand nineteen. They already allowed in. December. And and the first of this year. The outlook for inflation is very benign. They don't mean to cut rates at least in this year. If we would prize any speculation should be more for twenty twenty. So what do you think we're going to get from the fed in the coming days is it going to be a harder tone when it comes to some of the dovish this we've seen in the past. I mean, we've got obviously the job Saito. We've got we financing figures an announcement of the refunding announcement, and then the FOMC, of course this week. I think the tone is going to be very similar to what we have the last month. We're going to have some information on the amount or financing, and this is the balance sheet by the terms of Delvin Dhabi. Nash. I don't expect any change compared to previous meeting Europe the date on across the curve. You're a buyer to your paper on your tenure paper on on a dip is not conviction coal from you. Absolutely convention, call the cover should steepen at from the covering level. I still consider to fifty for the ten year a number. Democracy. I'm over in the trading range between two thirty six which is the lowest we touched a month ago and to sixty to sixty three we should remain in that in that range. Do the two year part of the curve as Dave. We have a father. Lower. And especially they're down on the curve is very interesting in in US and US is the only developer market where we are rates are stayed in positive territory. So for an investor around the world is is a market where they should they should be invested. Okay. Hello. We're gonna take a little bit deeper into the currency side of the equation rough antibody Tony head of debt capital markets over at Gulf Investment corporation on the show. This Sunday had or as long as Bill run thirteen years. It takes a breather Fulton. Eighty four percent is President Trump claims to have cooled back to demand action..