HeyJaredFed Lit
Fed Lit is a monthly newsletter, authored by Kristina Karlsson and Sarah Bloom Raskin, offering essential climate reading for Federal Reserve staff, leadership, and other interested parties.
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- Aug 25, 2026
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Comments from the Editors 1: Features of Fed Detachment (opens the original)
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Oh dear, bond markets are fretting. First, Kevin Warsh the self-avowed inflation hawk has pulled down the shades at the Federal Reserve amidst higher inflation. Second, Scott Bessent the self-avowed Treasury salesman is trying to prop up long-term Treasuries which are sinking under the weight of a $40T deficit. Bond investors are taking matters into their own hands, pushing yields on long-term government bonds to their highest levels since 2007.Let’s focus on the
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