Earlier this week, I took a few minutes to put readers to sleep by revisiting the term premium discussion.
Long story short, it (the term premium) moved back into positive territory recently amid a pretty sharp selloff across the US rates complex, which is trying to price both a prolonged stay at terminal for the Fed (a front-end story) and perpetual “fiscal dominance” (a longer-end story with ramifications for the front-end via the monetary policy read-through of an economy high on budget prof