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Even though it’s very short term, this fig on 10-yr Treas yields from this AMs WSJ is both indicative of longer-term trends and revealing of many important economic facts. [thrd] wsj.com/articles/some-… 
First, the old case for budget deficits crowding out private borrowing and thereby leading to higher interest rates just continues to be slammed by the data. That doesn’t mean deficits don’t matter! It means that, for now, that's not why they matter. washingtonpost.com/outlook/2019/0…
Next, though you need a longer-term figure (below) to see it, Larry Summers secular stagnation case looks increasingly strong. Importantly, this picture is similar in other countries and for yields from many different types of debt.
That implies advanced economies, facing drags from aging demographics, high inequality, lackluster investment relative to savings, large capital inflows (US case), need extra stimulus from monetary and fiscal policy, and not just in downturns.
I’d start with infrastructure, direct job creation (for those left behind even at full emp), and ambitious investment in design & production of green tech as per Green New Deal.
Back to the first figure, it also shows a) the bond market’s very worried about growth, b) the Fed is likely to have limited monetary space at the next downturn (see r* in 2nd fig), and c) forecasters are not learning from their mistakes. [end]
