IVOL News and Press, Quadratic Interest Rate Volatility and Inflation Hedge From 09/06/20

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...

At the recent Jackson Hole Economic Summit, Jerome Powell unveiled the Fed's new monetary policy designed to create inflation. In today's #Macroview, we will discuss the 5 reasons why the Fed will not get inflation, and why deflation is the bigger risk. The current assumption is that the Fed...

QE fundamentally changed finance. What commenced at the Federal Reserve with a post-mortgage finance bubble, $1 trillion Treasury buying operation morphed into open-ended purchases of Treasuries, MBS, corporate bonds and even corporate ETFs holding high-yield "junk" bonds. Markets assume it's ...

By Philipp Bagus The US Federal Reserve has adjusted its official inflation target to be even more flexible and inflationary. The Fed has always been more inflationary than the Bundesbank and its successor, the European Central Bank, at least on paper. The primary objective of the ECB ...

Make no mistake, higher gold prices are coming. By pulling yet another arrow from its quiver, the Fed’s just helped move us closer to that target. The Fed wants inflation, so it’s going to get it. Problem is, we the people, will have to live with it. Fed Chair Jerome Powe...

The Federal Reserve's new stance that it's willing to temporarily overshoot its 2% inflation target in order to keep inflation expectations centered on that target will make the central bank "better positioned" to achieve its goals , said New York Fed President John Williams in remarks on t...

By Kristina Hooper, Chief Global Market Strategist Weekly Market Compass: We also discuss a leadership change in Japan, US consumer sentiment, and COVID-19 cases Last week brought some major headlines with a new inflation target policy from the Federal Reserve, news of a leadership c...

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The " rationalization " that low rates justify high valuations is but one of several arguments used to justify overpaying for value in a late-stage bull market. As discussed previously, one of the "bullish spins" for the market has been that "earnings are cheap" based on 2- and even 3-year f...

Despite the surging stock market from the March lows, trillions in liquidity support from the Fed, retirement confidence declined. I have written on this subject previously regarding a 2018 Fox Business study . That study showed more Americans doubted they would be able to save enough for...