- The extra yield that investors demand to own 30-year Treasurys rather than five-year notes, a measure of the yield curve, increased for a ninth straight day today. That’s the longest streak since 2012.
- Traders are favoring shorter maturities, anticipating the Fed will continue to keep interest rates in check, potentially stoking inflation and eroding the value of debt maturing decades in the future.
- The last time the yield curve steepened this quickly was Aug. 2012. At the time, primary dealers were offloading billions in 30-year bonds to the Fed as part of its debt-buying program.
- ETFs: AGG, BND, BOND, PTY, RCS, DBL, BTZ, HTR, SCHZ, PCM, JHI, BHK, BNDS, JMM, TAI, INC, ICB, FBND, VBF, PAI, IUSB, SAGG, GBF, VBND, GTO, AGGE, AGGP, AGGY, DWFI, UBND
- via Bloomberg