ROI-Central banks face test. Will they be good cops or bond villains?: Mike Dolan - Devdiscourse
ROI-Central banks face test. Will they be good cops or bond villains?: Mike Dolan - Devdiscourse
Source: Devdiscourse
―
DW NOTE
Central banks spent 2023-2025 fighting the last war — inflation they printed themselves — and now face a supply shock they cannot fix with rate policy. Oil is up 60.6% year-over-year with the Strait of Hormuz closed and gold at $4,216 despite a 20.7% drawdown. The Fed raised rates to 3.75%-4.00% in September while running a $2 trillion deficit. That's not monetary discipline, that's stagflation with a press release.