Trump’s Federal Reserve pick may struggle to lower rates after bond yields soar
CommSec’s James Gruber says US President Donald Trump’s pick to run the Federal Reserve may struggle to lower rates following a surge in bond yields.
“They’re expecting with those higher bond yields potentially higher interest rates in the US sooner rather than later,” Mr Gruber told Sky News Australia.
“It’s interesting that the new US Federal Reserve Chairman Kevin Warsh is starting this Friday, and Trump appointed him to potentially lower rates, but he may not be able to do that now, given those higher bond yields.”
Presented by CommSec.
