The FTC rolled out new merger-review hurdles aimed partly at addressing concerns that subsidies by foreign powers such as China "can distort the competitive process."
Chair Jerome Powell said this week: "Inflation pressures continue to run high, and the process of getting inflation back down to 2% has a long way to go."
The benchmark will have its last fixing at around 6:55 a.m. New York time on Friday, and some borrowers and lenders are still scrambling to amend contracts.
New paper from the Dallas Fed points out that although "long-term Treasury bonds may have no default risk, they have liquidity risk and interest rate risk ... especially in times of financial market stress."
The impending barrage of T-bills is a precursor to a glut of longer-term debt issues, which might result in a "demand vacuum" for longer-maturity bonds that pushes yields higher and tightens financial conditions.
After Jerome Powell told the House Financial Services Committee that the Fed might keep raising interest rates, the gap between yields on 2-year and 10-year Treasuries—which has inverted before each of the past five U.S. recessions—reached the largest inversion since March.
The unexpected surge in May, combined with growth in applications to build, adds to evidence that residential real estate is recovering after a yearlong slump.
