CoinGape and CryptoBriefing both cover Treasury's doubled debt buybacks and Fed tension but report different current inflation figures for the same period.
CoinGape and CryptoBriefing both cover Treasury's doubled debt buybacks and Fed tension but report different current inflation figures for the same period.
What all sources agree on
- Treasury doubled the size of long-term debt buybacks for securities with maturities between 10 and 30 years to $4 billion per operation.
- The Fed's inflation target is 2%.
- There is tension between the Treasury's buyback program and Fed policy under Kevin Warsh.
Where the reports disagree
1Current U.S. inflation rate
Annual U.S. inflation eased to 3.4% in July from 4.2% in May but remained above the central bank's target.
With inflation currently at 4.2%, significantly above the Federal Reserve's 2% target, cheaper long-term financing encourages more borrowing by corporations, governments, and consumers.
What would settle it: The Bureau of Labor Statistics' official Consumer Price Index release for the relevant month.
What to make of it
Treat the $4 billion buyback figure and the existence of Fed-Treasury policy tension as established; do not rely on either outlet's stated inflation percentage until checked against the BLS's official CPI data for the period in question.
Treat the $4 billion buyback figure and the existence of Fed-Treasury policy tension as established; do not rely on either outlet's stated inflation percentage until checked against the BLS's official CPI data for the period in question.
