Have Bond Markets Moved Enough to Price in Trump Risks?
Bond investors may have another reason to worry after Donald Trump’s election last week: Some of his allies are not fans of the Federal Reserve’s big balance sheet of bonds and want the central bank to shrink it. They argue that the Fed’s debt portfolio has damaged the economy by channeling credit to corporations and the federal government instead of to new, more dynamic small businesses. The central bank’s policies also have hurt savers and retirees, they say. Royal London Asset Management Chief Investment Officer Piers Hillier discusses with Guy Johnson in London and Matt Miller in Berlin on "Bloomberg Markets: European Open."