I was passed along the article “Views from the Floor — Tighter and Tighter” by the Man Institute published last month. It discusses using the FOMC long-term projections to infer the term premium in the 10-year Treasury yield. The methodology is straightforward (I have a busy week, so I have not gathered the data to replicate it myself). They describe it as follows:
Using Fed Projections To Infer The Term Premium?
Using Fed Projections To Infer The Term…
Using Fed Projections To Infer The Term Premium?
I was passed along the article “Views from the Floor — Tighter and Tighter” by the Man Institute published last month. It discusses using the FOMC long-term projections to infer the term premium in the 10-year Treasury yield. The methodology is straightforward (I have a busy week, so I have not gathered the data to replicate it myself). They describe it as follows: