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Since 1990 there have been only eight other periods where bonds have been more oversold. We measured the US Long Bond futures contract against its 50-day moving average. Currently the bond price is -4.26% below the 50-day, and, as shown in the table, the average peak was -6.25%.

On average the market has rallied out of these periods, although rallies hardly dominate the total occurrences.

bonds oversold

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bonds oversold table

Source: Today's Market: Bonds More Oversold Only Eight Times Since 1990