BONDS HATE THE "RUN IT HOT" STRATEGY.



Historical data shows US yields rise an average of 49bps after Fed nominations that prioritize loyalty over competence.

If the market smells fiscal irresponsibility, they sell bonds.
When bonds sell off, yields spike.

When yields spike, the government can't pay its interest.

Enter Yield Curve Control (YCC) -> Enter Massive Printing.

More liquidity > risk assets catch the bid
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