Does anyone else remember October 14, 2010?
We do. That was the last time the Treasury auctioned off 30-year debt, and basically the auction went like garbage, sending yields spiking.
And since then the 30-year has been routed thanks to QE-light, improving econ data, the Fed’s decision to concentrate its bond buying at the short end of the curve today.
And there’s another 30-year auction today, and there are fears that once again it could be a debacle. Investors have seen the declines, and even Bill Gross has declared the end of the bond bull market since then.
This chart of 30-year bond futures makes the selling clear. Stay tuned.