tyb
>>53696 pb
SAM375 USAF C-40B on descent for Ontario Int'l Airport from JBA depart earlier.
Not a usual destination this.
99-6143 USAFSOC C-32B departed Pinal Airpark, AZ (nw of Tucson) after about an hour on the ground back to Eglin AFB
Inflation Angst Turns TIPS Into Must-Watch $1.6 Trillion Market
The U.S. is about to sell 10-year inflation-linked debt next week, keeping the spotlight on a corner of the bond market that’s rarely garnered this much attention in the almost quarter-century since its debut.
Heightened fears about the risk of raging consumer-price gains as growth rebounds are driving investors of all stripes to search for cover in Treasury Inflation-Protected Securities, a market that’s grown to $1.6 trillion. Traders talk of new entrants like retail buyers and global macro strategists -- what the veterans are dubbing the “tourist crowd.” Cash has also been flowing into the largest exchange-traded fund for TIPS, part of the rabid demand that’s driven inflation expectations over the next half-decade to a 16-year high. It’s all adding up to a head-spinning stretch for inflation traders. They say they’ve been caught off guard by the burst of activity, and the speed with which last year’s pandemic-induced recession is giving way in some minds to 1970s-level angst over out-of-control inflation. Barclays Plc’s Chris McReynolds likens the volatility in TIPS pricing to “watching table tennis while sitting in the middle of the table.”
Leaving aside questions over whether TIPS are overstating inflation pressures, traders see opportunity at a time when forecasts for some key data, including consumer prices, have been way out of line with actual readings. Gang Hu, at hedge fund WinShore Capital Partners, says he’s seen many traders exit TIPS positions over much of this year as market-based inflation expectations climbed. He says Thursday’s $13 billion auction of inflation-linked debt will be seen as a key gauge of investor appetite and a possible opportunity for some to re-enter. That’s spurring volatility in a part of the bond market that hasn’t typically seen such activity, with volumes swinging from week to week as above-estimate inflation readings test the Federal Reserve’s oft-repeated message that the pressure is likely to be temporary.
This past week, the five-year inflation outlook, or breakeven rate, jumped to 2.82%, the highest since 2005, after a bigger-than-expected surge in consumer prices for April. The 10-year nominal Treasury yield touched the highest in more than a month this week. The signals from bonds have broad implications across markets. Stocks slumped by the most since February after the inflation data as traders pulled forward the timing for when they expect the Fed to lift rates, and a measure of consumer sentiment unexpectedly slumped this week. Fear of inflation is also driving a flurry of corporate issuance. For much of its existence, the TIPS market has been a largely bearish one -- where traders were skeptical about the sustainability of any substantial price gains that did emerge. The few times that expectations did soar, they always retreated. One example: in the lead-up to the 2008 financial crisis, when the 5-year breakeven rate shot up to 2.73% amid a housing boom and soaring oil prices. But the rate soon fell off and has largely stayed below that level since.
On Thursday, the New York Fed announced plans to reduce the amount of TIPS it will purchase over the next month. That tweak, along with Treasury’s previously stated plan to boost auctions of TIPS in coming quarters, may help alleviate any near-term shortage of the securities.
https://www.bnnbloomberg.ca/inflation-angst-turns-tips-into-must-watch-1-6-trillion-market-1.1604077
RCH802T USAF C-17 Globemaster on final approach for Detroit Metro. Airport
Departed MCB Quantico after a 2 hour ground stop and load-in
Origin of McGuire AFB, NJ earlier
Not AF1 Joe to the Ford Plant on Tuesday
White House confirms President Joe Biden will visit Michigan on Tuesday
Joe Biden plans to visit Ford Motor Co. in Michigan next week — the day before the automaker's Wednesday night launch of the electric version of the F-150 pickup truck. The F-150 Lightning EV still will be unveiled May 19 at the company's headquarters in Dearborn, where workers spent the past few days installing a giant projector screen on the south side of world headquarters to tout the new truck. The visit was first reported by The Detroit News on Monday and confirmed Tuesday by the White House.
https://www.detroitnews.com/story/business/autos/2021/05/10/biden-visit-michigan-next-week-ahead-electric-f-150-reveal/5030192001/