30-year US treasury bond

'Flimsy' Treasury market risks 'large-scale forced selling' or surprise that leads to breakdown, says BofA

‘Flimsy’ Treasury market risks ‘large-scale forced selling’ or surprise that leads to breakdown, says BofA

The deepest and most liquid fixed income market in the world is in deep trouble. For months, traders, academics and other analysts have worried that the $23.7 trillion Treasuries market could be the source of the next financial crisis. Then last week, US Treasury Secretary Janet Yellen acknowledged concerns about a potential breakdown in government …

‘Flimsy’ Treasury market risks ‘large-scale forced selling’ or surprise that leads to breakdown, says BofA Read More »

High US inflation drives market expectations for a 5% or higher fed funds rate in a few months

High US inflation drives market expectations for a 5% or higher fed funds rate in a few months

With inflation showing no signs of abating, financial markets are expecting a 5% federal funds rate by March, which should lead to more volatility in stocks, bonds and currencies. Barclays sees the benchmark US interest rate target rise to 5% to 5.25% by February – from a current level of between 3% and 3.25% – …

High US inflation drives market expectations for a 5% or higher fed funds rate in a few months Read More »