Bonddad on the Stress Tests 0
Follow the links for the full analyses:
Part 1:
GDP is already performing more poorly than the Fed’s stress test.
The worse case scenario for unemployment is the most realistic possibility.
Home prices are already closer to the Fed’s worst case scenario than the median baseline forecast.
Bottom line: the worst case scenario is the most realistic scenario.
Part 2:
Let’s move to the latest report from the Treasury Department. It indicates several problems.
