Selloff in U.S. Treasurys Continues -- Market Talk
How will the trade war destroy the 'dollar loop'? The U.S. debt has already stirred up a storm, and there is a key moment coming up.
Currently, investors are closely watching the upcoming ten-year and thirty-year U.S. Treasury auctions this week. With the start of Japan's new fiscal year, Japanese investors may significantly adjust their allocation strategy, shifting funds from U.S. Treasuries to more attractive European Bonds. This move will further challenge the Global status of U.S. Treasury Bonds and could trigger a restructuring of the global bond market amid various factors such as Trump's tariff policies and Germany's fiscal expansion.
U.S. Treasury bonds "explode"! In the next 48 hours: Is it a "life or death moment" for the American Financial system?
① Following our morning article mentioning the "trillion-dollar U.S. Treasury landmine" (basis trade unwinding) being completely detonated, the selling of U.S. Treasuries further intensified during the Asian session on Wednesday... ② It can be said that this wave of U.S. Treasury plummets has completely departed from the realm of normal market fluctuations.
Long-End U.S. Treasury Yields Jump -- Market Talk
The three major US stock index futures fell more than 2%, US bond yields surged, is the US market facing the reality of the "tariff storm"?
The US stock market has evaporated over 10 trillion dollars in three days, US bond yields have soared, and the market panic indicator VIX has surged to its highest level since the pandemic. Blackstone investing pointed out that tariff policies will keep interest rates and long-term Bonds yieldshigh. The market and government are caught in a "chicken game."
When U.S. stocks fall, U.S. bonds plummet instead. Is the market telling a "ghost story" from 2020?
The yield on the ten-year U.S. Treasury bond has increased by 42 basis points since its low on April 4. One important reason behind this unusual rise is that hedge funds are massively unwinding basis trades, recreating scenarios similar to the crisis in March 2020. Will this hidden vulnerability evolve into a systemic crisis? This time, will it also rely on the Federal Reserve to intervene for rescue?
