[quote=SD Realtor]Ten year sell off has been non trivial. Over 50 basis points in 5 business days.[/quote]
And now a week later, and it seems almost all of the sell off has been recooped.
I’m finding the 10yr action particularly odd since by most accounts the “crisis” is easing so we should no longer be seeing a mass buying of treasuries as a flight to safety measure. Any of you savvy investor types have a good explanation of why 10yrs are being scooped up? Is China or Japan suddenly adding large quantities of 10yrs to their reserves? If so why?
Isn’t it expected that in the near future the US will be issuing large quantities of debt, thus the supply of treasuries will flood demand? Wouldn’t that mean lower treasury prices? (and higher yields)
