What has happened is that the Fed, instead of lowering short term rates, kept them way too high. Therefore the market is pricing in much much lower rates because everyone but the 750 PhD's in the Federal Reserve can see what they are up to. So massive flows of funds are coming to United States bond market because it’s the only bond market that pays in the world.
On Christmas Eve, last year Trump said the Fed is like a powerful golfer who can't score because he has no touch--he can't putt!" It's the gift that keeps on giving!
If the FED cut short term rates to 1% -in one swoop everything would right itself. Instead this weekend at Jackson Hole Fed Chairman Powell will just talk. Their reluctance to cutting rates because they hate Trump, will cause the economy to skyrocket because all long term rates will be knocked way down! And Trump by his tweets has forced the Fed into a corner They can admit they were wrong and Trump was right- which they would never do. But their policies will cause paradoxically a massive boom! Ironic isn't it? The FED, by trying to destroy the economy, will paradoxically cause the economy to boom!
But hasn't that happened to all those who said "Orange Man Bad?" Haha! It's a disease friends--but it only affects the liberal, smarmy, mind who thinks their viewpoints are superior to everyone else!
"Professing themselves to be wise, they became fools!"