Meredith Whitney on 60 Minutes: Expect 50+ muni bond defaults in 2011

If the Fed cannot cut rates as much as people expect due to persistent inflation and a relatively stable job market, we could see a bear steepener.

This update summarizes our most recent thinking

With the labor market already in balance, tariff risks greatly diminished amid ongoing negotiations, and the Fed Funds rate still in moderately restrictive territory, we believe that the Fed should calibrate rates lower.