Marketplace · Monday, August 3, 2026
Economist Nicole Sivey notes a concerning 'twist' in the yield curve following Chairman Walsh's recent press conference, where short-term rates fell while long-term rates rose. She believes the market is struggling to interpret the Federal Reserve's direction regarding interest rates.
“The reference here, of course, is Chairman Walsh's press conference of Wednesday.”
“Um, he tried to talk the talk, the bond market was not buying it.”
“Um, how worried are you about about how the market is receiving the chairman?”
“One of our interest rate strategists over here called it a twist in the yield curve, where you had your short-term rates come down, and then your long-term rates rise.”