The president of the United States Federal Reserve of St. Louis spoke of the volatile nature of the bond market, which did not question the Fed letter. Fitch

On 21 August, the Governor of the Federal Reserve of St. Louis, Alberto Moussallem, stated that the sale of the United States bond market was driven by government borrowing and increased financing needs associated with artificial intelligence building, rather than questioning the credibility of the Federal Reserve. “There is currently a competition for funds from government financing — total government financing — combined with artificial intelligence building, which is now being financed in the United States and around the globe,” said Musalam on Thursday. “The interesting thing is that inflation expectations are anchored. The credibility of the Fed has not been questioned.” Bond yields may also rise when investors doubt the Fed's determination to contain inflation. The Governor of the Federal Reserve of St. Louis, who did not have the right to vote for monetary policy this year, reiterated that he had hoped that the Federal Reserve would raise interest rates at its July meeting to contain the still high inflation. In his view, if interest rates were not raised, the possibility that inflation would not fall back to the Fed ' s 2 per cent target for 18 months would increase。