TROUBLED TREASURIES
04/09/2025 |
The recent steepening of the yield curve and the astounding and quick rise in 10-year and 30-year Treasury rates suggest several all-bad possibilities. Is there concern that a recession could strain federal government resources? Is China selling Treasuries? Is everyone deleveraging Treasury trades all at once, and thus is everyone looking for cash simultaneously? Who knows, but this is potentially terrifying. Maybe it helps explain the sudden 90-day tariff pause.