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Roaring Reflation Trade Rips $640 Million From Long-Bond ETF

  • TLT sees biggest outflow since March as yield curve steepens
  • Demand for long-duration products low as rates rise: Tchir
Updated on

Exchange-traded fund investors are dumping Treasuries in a hurry as bets on a global rebound in inflation build across asset classes.

Roughly $639 million was pulled from the $15.7 billion iShares 20+ Year Treasury Bond ETF (ticker TLT) on Monday, according to data compiled by Bloomberg. That was the fund’s biggest single-day outflow since March, when the coronavirus pandemic fueled a selloff in high-quality bonds amid a cash crunch.