I am very bearish on the United States economy and treasuries. I am also not a big believer in what Madam Yellen had to say about inflation yesterday. And, I think she is towing a party concept, and I think this is a big fail.
Yellen, et al., stated that inflation is right around the corner. Yet, inflation came out that morning stating that inflation is heading lower and consumer retail sales were softening. So, where does this inflation come from?
For now, the economy is softening. Eventually, it will go higher. And, steps that the Fed takes will prevent asset bubbles. But, I think that inflation is way, way off.