Bonds
Treasury Traders Are Starting to Bet on Losses for US Bonds
- Open interest in futures market has collapsed since payrolls
- JPMorgan clients are net short for first time since April 2023
The US Treasury building in Washington, DC.
Photographer: Kent Nishimura/BloombergThis article is for subscribers only.
Traders are beginning to bet on losses in the US Treasury market as they adjust for a more gradual pace of Federal Reserve interest-rate cuts.
Since a resilient September jobs report late last week, bond traders have been abandoning long positions in the futures market as part of a broad unwind of bullish wagers that hinged on a series of big rate cuts this year and into early 2025.