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Traders in a critical corner of the bond market are back to flashing worries about long-run inflation
A critical corner of the U.S. bond market isn't looking very calm about tariff risks. Some market-based measures of future inflation have been rising back toward worrisome levels, with some strategists pointing to the potential for another round of unsettling tariff-driven price gains in the months to come. On Friday, breakeven inflation rates that reflect expectations of future long-run price gains climbed back to levels not seen since February or April, the latter of which was when fears over President Donald Trump's tariff plans against the U.S.'s major trading partners reached a peak. The 5-year breakeven ... (full story)