Janet Yellen has never impressed anyone with her mental acuity. From Tyler Durden at zerohedge.com:
Billionaire hedge fund manager Stanley Druckenmiller pulled no punches during a fireside chat with legendary trader Paul Tudor Jones at a recent Robin Hood Foundation event, slamming Treasury Secretary Janet Yellen.
In his view, Yellen made the worst mistake in the history of the Treasury, by not issuing more long-dated government bonds before the Fed began hiking rates early last year. And that, Druck believes has helped pave the way for a debt disaster.
“When rates were practically zero, every Tom, Dick, Harry, and Mary in the United States refinanced their mortgage,” Druckenmiller said.
“Unfortunately we had one entity that did not, and that was the US Treasury.”
“Janet Yellen — I guess because political myopia, whatever — was issuing two years at 15 basis points when she could have issued 10 years at 70 basis points or 30 years at 180 basis points,” Druckenmiller continued.
But he wasn’t done, making it clear the scale of the problem she has created:
“I literally think if you go back to Alexander Hamilton, it was the biggest blunder in the history of the Treasury. I have no idea why she’s not been called out on this, she has no right to still be in that job after that,” Druckenmiller said.
