Is the mirroring of 1980s policy conditions a boon or a bust for high bond yields and a strong dollar?

Pros:
– Mirroring 1980s policy conditions can provide historical precedent and insights for analyzing the current situation. – High bond yields can attract investors by offering potentially higher returns.
– A strong dollar can contribute to increased purchasing power for US consumers and investors.

Cons:
– The 1980s policy conditions may not align perfectly with the current economic environment, resulting in misleading comparisons.
– High bond yields can also indicate increased borrowing costs for businesses and individuals.
– A strong dollar can make US exports more expensive and less competitive in global markets.

context: https://markets.businessinsider.com/news/bonds/bond-yields-1980s-strong-dollar-rally-interest-rates-inflation-2023-10

Bank of America states that the recent loose fiscal policy during the pandemic, paired with the sudden hawkishness of the Federal Reserve, reflects a familiar trend from the 1980s.