If you were an outsider looking in, you’d have to be scratching your head at the current political dysfunction in Washington.
Whether or not you’re one of the MAGA faithful or a “Bernie Bro,” the infighting in Washington has hit a fevered level. Potential scandals, government shutdowns and a general malaise is gripping much of the complex political landscape in the U.S.
And yet, the market seems to care less.
With all of this going on, you’d think we’d see plenty of heightened volatility. Even with the recent hiccups in February, the market is still brushing off much of the dysfunction in Washington. So, what gives? It turns out, it’s not Washington that matters but what’s going on in the bond market.