The document discusses the relationship between central bank liquidity and interest rates, specifically focusing on the 5y5y rate and its correlation with real yields and inflation expectations. It suggests that declining liquidity should lead to lower real yields and emphasizes the importance of risk assets in this context. The document also addresses concerns about China's potential liquidation of Treasuries and its impact on real yields.
documents/vol00010-efta01362017-pdf.pdf
{"title":"US Fixed Income Weekly","document_date":"2016-09-04","document_type":"tabular","key_organizations":["Deutsche Bank","Bloomberg Finance LP","Fed"],"reference_numbers":["DB-SDNY-0051314","SDNY_GM_00197498","EFTA01362017"]}