Treasury Selloff

Drawn into the stream
Of undefined illusion
Those diamond dreams
They can't disguise the truth
--Level 42

Long dated Treasuries have been selling off over the past week or so. The action has been getting 'gappy.' Ten year yields are cutting thru the downtrend line defined by the New Years top.

The 200 day moving avg above at ~26.5 (2.65%) seems the next technical level of lore.

The most popular 'reason' for the weakness is fears of a more hawkish Fed in the face of growing economic strength.

Regardless, protracted govie weakness is a radar-worthy item. The policymaker playouse burns down if rates can no longer be suppressed.

no positions