One of the largest fears about Donald Trump’s strategy to the economic system was that he would possibly attempt to undermine the Federal Reserve’s independence and press it to chop rates of interest. To this point that has not come to go. As a substitute, he has set himself a good more durable problem: persuading traders that market-determined charges ought to come down. Particularly, Mr Trump and senior members of his administration need to carry down the yield on ten-year Treasury bonds. On February twenty fifth it fell to its lowest degree since mid-December (see chart). All going to plan? Not fairly.
