What a Terrible Quarterback Can Teach Us About AI: Macro Man

The aftermath of this week’s monetary-policy meetings has not exactly been a bundle of sweetness and light for global financial markets.

Over the last few months, fixed-income markets have gradually acknowledged that policy really is likely to run tighter for longer, and perhaps price action this week represents the denouement of that acceptance. The reality of a higher nominal and real term structure of interest rates is not a positive one for the “hopes and dreams” cohort of the market, one where apparently exorbitant valuations are justified by the extrapolation of profits into the distant future.

Artificial intelligence is obviously ...