Aggressive Treasury yield cap could weigh on dollar, says Citi’s asset allocation head - KELO-AM

Aggressive Treasury yield cap could weigh on dollar, says Citi’s asset allocation head - KELO-AM

Source: KELO-AM

DW NOTE

The Fed holds the 10-year at 4.67% while running a $1.4 trillion deficit and the Strait of Hormuz sits closed for two months. Now Citi floats the idea of an "aggressive Treasury yield cap" — as if capping yields in a supply shock with stranded oil tankers and a collapsing ceasefire were a technocratic adjustment rather than a final admission that the Treasury market no longer clears without direct central bank price-fixing.

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