Jan. 10, 2025

Treasuries, Inflation, and the Fed: Economic Insights for 2025

Treasuries, Inflation, and the Fed: Economic Insights for 2025
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Rubber Meets The Road Economics: Exploring the forces shaping our economy with P

In this episode of Rubber Meets the Road Economics, investor Hunter Craig sits down with the insightful Professor Edwin T. Burton of the University of Virginia to discuss the latest trends in the debt market, including the dramatic swings in U.S. Treasury yields. The conversation breaks down the complexities of supply and demand in economics, rising interest rates, and their implications on real estate and global markets.

From debunking myths about interest rate inversion to understanding the historical context of high yields, Professor Burton delivers clarity and actionable insights for investors and enthusiasts alike. Whether you’re curious about inflation’s impact on real estate or the Fed’s potential moves, this episode equips you with the knowledge to navigate the evolving economic landscape.

Topics Covered

  • Why U.S. Treasury yields are climbing and what it means for investors
  • How inflation and interest rates influence real estate valuations
  • The role of supply and demand in economic fluctuations
  • Understanding “flight to quality” during market turbulence
  • Historical perspective: Mortgage rates in the 1980s vs. today

 

About Our Guest

Professor Edwin T. Burton is a seasoned economist and former Wall Street executive with decades of experience analyzing economic trends. As a professor at the University of Virginia, he bridges academic knowledge and practical expertise to shed light on complex economic topics. His optimism and deep understanding of historical and modern economics make his insights invaluable to listeners.

 

Disclaimer:

The information provided on this podcast is for educational and informational purposes only. It is not intended as financial advice and should not be relied upon as such. All opinions expressed by the hosts, guests, or participants are solely their own and do not reflect the views of any companies or organizations they may be affiliated with. We recommend consulting with a qualified financial professional before making any financial decisions. Remember, investing and financial decisions carry risks, and it is important to do your own research.

Chapters

00:00 - Introduction to The Rubber Meets The Road Economics

00:34 - Understanding Interest Rates and Treasury Yields

01:38 - Impact of Inflation on Real Estate

03:15 - Debunking Myths About Interest Rates and Recessions

04:26 - Global Demand for U.S. Treasuries

06:40 - Historical Perspectives on Treasury Yields

10:34 - The Fed's Role and Market Predictions

13:52 - Supply and Demand in the Debt Market

19:15 - Corporate Bond Issuance and Future Outlook

20:17 - Optimism for the Future

21:00 - Conclusion and Farewell