RIDING INFLATION FROM THE LONG SIDE

The 'tourist explains why this is like the post-1982 period in reverse

Today’s post will explore the different tenors of inflation swaps and breakevens. Specifically, we will examine what drives different maturities.

However, before we get to inflation, I thought it would be useful to review bond behaviour.

We all understand that when the Federal Reserve raises rates, it doesn’t necessarily mean than longer duration fixed-i…