Federal Reserve Jerome Powell Discusses Treasury Yields, SLR Exclusion, and Plans on Economic Recovery

 Federal Reserve Jerome Powell discusses bond yields on economy recovering from COVID slowdowns. 

1.)  Fed to announce SLR Exclusion: Regulatory Capital Rule: Temporary Exclusion of U.S. Treasury Securities and Deposits at Federal Reserve Banks From the Supplementary Leverage Ratio for Depository Institutions

2.) Increase in Treasury Yields in Broader Economy: Fed looks at financial conditions and they believe that yields are moving up because it is a statement of confidence on the recovery of the economy.

3. Message Jerome Powell wants to send? Unemployment is like 20% for lower income levels so the Fed will be flexible in its choices as information comes in. Expect advanced warnings for monetary changes.