Treasuries’ Pain Seen Deepening Amid Grimmest Year Since 2013
- Market on track for first annual loss since taper-tantrum year
- Yields seen rising further after steep September selloff
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The Federal Reserve is doing its best to avoid the taper tantrum of 2013 as it moves toward curbing its bond buying. Ironically for Treasuries investors, 2021 could turn out to be even worse than eight years ago.
The latest bond selloff -- triggered by a hawkish shift in the Fed’s signal on its policy path -- has left the Bloomberg U.S. Treasury Index down 2.2% this year, on track for the first annual loss since 2013, when it declined 2.8%.