Treasury Yields Drop, Was Trump Fiscal Policy Assumption Overblown?

With 10 days to go before the inauguration and Congress in session, investors have seen very little substance on promised major infrastructure and tax reform. The post election bond selloff may have been “overdone.” Today saw the 10 year yield drop to 2.33% (it was 2.60% on December 15th, 2016). Last week’s jobs report indicated tepid growth but some wage inflation. The higher bond yields were based on massive stimulus, not today’s economy. stay tuned.    David R. Pascale, Jr.