Nominally Real

Following up from yesterday's note, a few clarifications:

The most "accurate" tracking between 5 year yields and GDP is to adjust to CPI. However, we are constructing a guideline "in equilibrium." This provides observable spreads to the prevailing data and a gauge of how far from equilibrium -and thus what policy response-we are.

Let's see what the government serves up this morning and revisit.

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