Summers Surprised by Bond Yields Falling Even as Inflation Jumps
- 10-year yield fell to 3-month low despite inflation surging
- Summers says traders betting Fed more focused on unemployment
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Former U.S. Treasury Secretary Lawrence Summers said he didn’t expect the recent fall in bond yields although he maintained his view that the economy is overheating.
“I didn’t anticipate the kind of decline in nominal yields that we’ve seen,” Summers told “Wall Street Week” with David Westin on Bloomberg Television. “I’m surprised. I would have expected that yields would have risen more.”