Fixed-income sell-offs intensified today as the 30-year U.S. Treasury yield breached a multi-decade ceiling…
The long-bond yield settled at 5.14%, marking its highest operational point since the dawn of the 2007 financial crisis…
Aggressive selling pressure accelerated across the entire curve following persistent energy shocks and a hotter core inflation matrix…
Market desks report institutional demand for long-duration sovereign paper is buckling under the pressure of non-stop federal debt issuance…
Chinese Holdings of U.S. Treasuries have fallen to their lowest level since the Global Financial Crisis
byu/RobertBartus inEconomyCharts
Macroeconomic research groups issued severe warnings regarding the trajectory of domestic fiscal policy…
The ballooning federal deficit combined with multi-decade high yields is forcing the government to refinance legacy debt at punitive rates…
Deficit hawks warn that net interest payments are rapidly devouring an unprecedented share of federal revenue collections…
The structural mismatch is limiting the legislative ability to deploy standard fiscal stimulus packages during future economic downturns…
The 30-year US Treasury yield just hit 5.2%, its highest level since 2007, rising on worries about persistent price hikes because of the Iran war. Unsustainable government finances and interest rate hike fears have also sent investors pouring out of Treasury bonds. Yields rise when bond prices fall.
Fixed-income strategists are recalibrating baseline models to account for a potential surge toward the 6% threshold…
Derivative markets indicate a sharp increase in hedging activity against a prolonged “higher-for-longer” monetary regime…
The newly confirmed Federal Reserve leadership faces an immediate test as market forces bypass previous central bank guidance…
Institutional funds are systematically shifting capital out of high-multiple equities to lock in historic risk-free yields…
Jim McCormick, Citi’s London-based macro rates strategist, said the market focus is likely to shift to a test of 5.5%, a level last registered in June 2004. A Bank of America survey of fund managers shows 62% think a big move in yields over the next year will drive 30-year government borrowing costs above 6%. The long bond last traded above that threshold in June 2000, when the Federal Reserve’s policy rate sat at 6.5%.