Bond Bulls Are Puking…

Bond Bulls Are Puking…

As stocks soar on the day after The Fed, yesterday’s bid for the long-end of the bond curve has been eviscerated…

Source: Bloomberg

With The Fed’s hawkish comments sending real yields soaring…

Source: Bloomberg

…and nominal yields explode higher today…

Source: Bloomberg

All of this is happening as we noted earlier that the market is pricing ‘liftoff’ for rates by the end of 2022…

Yesterday’s signal of ‘policy error’ – the crash flattening of the yield curve – has almost entirely been reversed….

Source: Bloomberg

We do note that the long-end (30Y) yields have merely surged to a key technical resistance level (the pre-payrolls puke)…

Source: Bloomberg

When will this explosive rate expansion volatility start to bleed into equity risk assessments?

Meanwhile, traders ain’t buying what Pelosi is selling with regard a debt ceiling deal…

Source: Bloomberg

Gold is also getting clubbed like a baby seal…

But hey, for now, “just keep buying stonks”

Tyler Durden
Thu, 09/23/2021 – 11:18

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