There’s a group of investors out there who are looking at what the Fed is doing and the policy action they’ve taken and the asset purchases, and saying ultimately this is inflationary.You’re going to invest in very short-term bills because you absolutely need not just the quality but also the absolute liquidity.
—Stuart Spodek, co-head of U.S. bonds in New York at BlackRock

The Fed made the dramatic announcement in March that it’s going to monetize some of that deficit. The difference in migrating to bills versus bonds is their exposure to interest rate movements. You’re taking less interest rate risk.
—Richard Clarida, PIMCO and Columbia University economist