Keep on hiking, keep on hiking... That is NY Fed President Dudley's theme song these days... He said that this current economic cycle has a long way to go, inflation will pick up as wages increase, and never mind the bond market they have it all wrong. Mr. Dudley, it is time to keep on riding, keep on riding.
The bond market reacted to his remarks and yields rose.
The Dow loved his song and rose to a new record high of 21,528! While, bond yields rose further and closed at 2.19%! The Dollar joined the band and rose slightly. As for, oil, not so much and as productions grows, prices have fallen to $44.
With little data to digest this week, but lots of Fed chatter to be heard. It will be interesting to see which way we go. Personally, I have more faith in the bond market than I do in the Fed.
I am headed to Cuba for the rest of the week. Curious to learn what buying a home is like there. I will share upon my return, adios!