Search

Short 10-year Treasuries versus two- and 30-year bonds - Goldman Sachs - FXStreet

siantarkalo.blogspot.com

Analysts at Goldman Sachs in an Oct. 2 note that investors short the 10-year treasury note against its two- and 30-year counterparts. 

That position will make money if the 10-year note yield rises more than yields on the two and 30-year bonds

The spread between 10-year and 30-year yields has widened by more than 30 basis points this year and was around 80 basis points on Monday,

Meanwhile, the spread between the 10-year and two-year yields has risen by 28.3 basis points this year. 

Key points (Source: Bloomberg)

If the Democrats sweep the US elections, 10-year bonds will suffer most, with yields rising by 30 to 40 basis points in the month following the outcome.

The treasury yield curve's front-end has been anchored by bets that the Federal Reserve will keep interest rates near 0% for at least three years. 

The US elections are due on Nov. 3, however, voting has already begun in many states. 

Let's block ads! (Why?)



"Short" - Google News
October 06, 2020 at 09:34AM
https://ift.tt/2SwIapW

Short 10-year Treasuries versus two- and 30-year bonds - Goldman Sachs - FXStreet
"Short" - Google News
https://ift.tt/2QJPxcA


Bagikan Berita Ini

0 Response to "Short 10-year Treasuries versus two- and 30-year bonds - Goldman Sachs - FXStreet"

Post a Comment

Powered by Blogger.