FLGV News and Press, Franklin Liberty U.S. Treasury Bond From 09/21/20

Powell is struggling to reinforce flagging Federal Reserve credibility. In the 1960s, Alan Greenspan was said to have commented the Great Depression was a consequence of the Fed having repeatedly placed "Coins in the Fuse Box". Is all the hullabaloo really about consumer inflation...

Economists were focused on three facets of the U.S. Federal Reserve (the Fed)'s meeting on Wednesday. Importantly, none of these three outcomes were particularly consequential for investors. 1. New forward guidance Would the Fed clarify its forward guidance on interest rates following Powe...

The Federal Reserve (Fed) released its new policy framework, formally known as the Statement on Longer-Run Goals and Monetary Policy Strategy, late last month in connection with Chair Powell's Jackson Hole speech. After that, it is not surprising the September FOMC meeting failed to provide an...

When a central bank announces a formal policy change to lift inflation, it's reasonable to expect that the government bond market would notice. But so far, there are few signs that US Treasuries are reacting to last month's rollout of the Fed's average inflation-targeting ((AIT)) policy, which...

Mr. Market, our old friend, who is never meant to be wrong, says it is inflation. It’s tough to agree with Mr. Market because most of us spend all our time trying to beat the market and prove it wrong. However, anyone who has been through a few rounds trying to outsmart the market will ...

By Jill Mislinski The Bureau of Labor Statistics released the August Consumer Price Index data this morning (Sept. 11). The year-over-year non-seasonally adjusted Headline CPI came in at 1.31%, up from 0.99% the previous month. Year-over-year Core CPI (ex Food and Energy) came in at 1.74%,...

By Kevin Flanagan While the headlines surrounding the August Employment Situation report seemed to focus on the moderating pace of new hiring activity, in my humble opinion, the bigger story was the sizable drop in the unemployment rate. The markets and headlines tend to focus more on no...

On August 27, the Federal Reserve released an important revision to its monetary policy strategy, replacing 2% price inflation targeting - initially adopted in 2012 - with a new approach in which the Fed will target an average inflation rate instead. To quote the Fed’s statement , ...

Following my last post on debt , I've thought a bit more, and received some very useful emails from colleagues. A central clarifying thought emerges. The main worry I have about US debt is the possibility of a debt crisis. I outlined that in my last post, and (thanks again to corresponden...

The Federal Reserve's adoption of an average inflation target pushed on a door in the foreign exchange market that was already open. The dollar had been trending lower since the end of March and, as of the end of August, was down against all the major currencies this year, save the New Zeala...