Should Bond Traders Brace for Bubble of a Lifetime?
The $13.6 trillion Treasury market is sending a signal it hasn’t flashed in more than four years. The message: Shorter-dated debt is the place to be as traders gain confidence the Federal Reserve will keep interest rates on hold, at least through next week’s policy meeting. The extra yield investors demand to own 30-year rather than five-year securities, a measure of the yield curve, increased for a ninth straight day Wednesday. That’s the longest streak since 2012, data compiled by Bloomberg show. London School of Economics Emeritus Professor Charles Goodhart and Panmure Gordon Chief Economist Simon French discuss with Bloomberg's Francine Lacqua on "The Pulse."