June 23, 2003

A good analysis of what the Fed is up to -- and what it means for the bond markets. Quotable:

The Fed's aggressive efforts to steer the economy away from deflation will be conducive to mini-bubbles in a range of asset markets. The Fed does not necessarily want more bubbles to grow but they are seen as an acceptable price to pay.

But there's much more, with lots of good details.

Posted by Greg Ransom