Apollo economist says Fed’s lack of forward guidance is fueling rare Treasury volatility
Apollo Global Management chief economist Torsten Sløk said the Federal Reserve’s abandonment of forward guidance is fueling rare volatility in the bond market, sending U.S. Treasury yields swinging up and down like a “yo-yo.” Sløk said the market’s moves after Wednesday’s Federal Open Market Committee interest-rate decision reflected that extreme volatility. “The market has very little to go on,” Sløk said. “What the basis was for making this decision today is also a bit hard to pin down.” (Bloomberg TV)