David Zervos: Treasury yields are ‘really, really high’ but can come down soon

I think we're probably going to find out that these real rates that we're encountering today uh are are probably above the normal long-term average and and and I think back then you had higher inflation expectation components in the yield. So the inflation expectation components have stayed the same. These real yields are really really high uh by any historic standard. So I think we have some room to come down in the future and I and I I think that's that's important. That's going to be important for the interest rate sensitive sectors that are being crowded out by the central banks that are worried that inflation might uh develop.