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Bond market signaling 'sluggish or uncertain' growth ahead, Fed's Kaplan says

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The compression in bond market yields is a signal of “sluggish or uncertain” growth ahead, Fed’s Kaplan says.

 

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So Mr. Kaplan, why don't you recommend to your colleagues that the Fed sell most of the longer securities it purchased during the latter QEs? That should take care of any flattening of the yield curve that you are concerned about. Rates are a long way from neutral.

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