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A shortage of benchmark 10-year Treasuries is triggering a surge in unsettled trades, which have soared to 'taper tantrum' levels.
New York Fed unveils 'overnight bank funding rate' as longtime benchmark fades.
Investors may already be shifting from institutional prime funds to government debt, in anticipation of floating NAV implementation in October.
Why don't investors seem to expect interest rates to continue rising?
Premium that investors pay to own most recently auctioned 10-year Treasuries, vs. those issued a few months earlier, has almost doubled.
In a rising-rate environment, long-term Treasuries usually do better than short-term debt; current expectations hinge on projected inflation.
How bond markets are reacting to the Fed's move to raise the federal funds interest rate targets.