When FOMC minutes recommended the Federal Reserve won’t make use of yield curve management, the markets reacted angrily.
On at the moment’s version of The Breakdown’s Lengthy Reads Sunday, our alternatives need to do with one of many hottest matters in central banking: yield curve management.
“What Is Yield Curve Management?”
The primary piece is from the St. Louis Federal Reserve and is a primer on YCC, together with previous U.S. implementations in addition to variations from Japan and Australia.
“Market Jitters Present How A lot Fed Drugs Issues”
Our second piece is an op-ed about how dramatically markets reacted to this small element from the Federal Open Market Committee minutes, and what it suggests for his or her wishes involving YCC.