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10Y Treasury Yield Breaks Below 2.5%

Tyler Durden's picture




 

"They" said it could not happen... the bond market's "most hated" bull move has now accelerated 10Y yields back below 2.5% once again... gold and silver are also bid this morning.

 

10Y back under 2.5%

 

and gold back over $1300 and its 200DMA

 

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Mon, 05/19/2014 - 09:00 | 4773180 Haus-Targaryen
Haus-Targaryen's picture

This isn't going to end well. 

Mon, 05/19/2014 - 09:04 | 4773203 MillionDollarBonus_
MillionDollarBonus_'s picture

Investors are piling into risk-free US treasuries once again in order to weather out any temporary set back in US equities. Personally I think the scare is overblown though - the chart of the S&P 500 is very strong and shows every indication of going higher. 

Mon, 05/19/2014 - 09:08 | 4773214 g'kar
g'kar's picture

Yes, the very healthy sideways move in the S&P for the last few months is boolish.

Mon, 05/19/2014 - 09:16 | 4773245 eclectic syncretist
eclectic syncretist's picture

With every note it prints the Fed becomes progressively more impotent.

Mon, 05/19/2014 - 09:43 | 4773331 economics9698
economics9698's picture

"With every note it prints the Fed becomes progressively more impotent."

Since 2008 the Fed has not controlled interest rates. 

Mon, 05/19/2014 - 12:03 | 4773963 asteroids
asteroids's picture

Assume the boyz are always out to get you and thiink ahead 4-6 months. Possibly setting up for summer vacation and a fall selloff?  Gotta get'em down early and sell em to the muppets, then nuke the bond market.

Mon, 05/19/2014 - 10:25 | 4773497 BrosephStiglitz
BrosephStiglitz's picture

It may well go higher in the short-run.  He might be right.  But at some point it is going to bottom out.  I want absolutely nothing to do with it right now.

Mon, 05/19/2014 - 09:08 | 4773215 THX 1178
THX 1178's picture

This is like the water pulling away from the shore before the tsunami...

Mon, 05/19/2014 - 09:26 | 4773272 Bill of Rights
Bill of Rights's picture

Investors? lol your funny.

Mon, 05/19/2014 - 10:24 | 4773475 BrosephStiglitz
BrosephStiglitz's picture

Thank for the sage advice, anonymous internet bull.  You know at some point in the unforeseeable future the financial system is going to flatline right?

Are you part of Jim Cramer's "research" team?

Mon, 05/19/2014 - 11:08 | 4773683 TheReplacement
TheReplacement's picture

Just another MDB victim.  Rest in pieces.

Mon, 05/19/2014 - 09:01 | 4773185 SamAdams
SamAdams's picture

Between "QE Off" and the FED's secret laundry program, this is no surprise.  It will fail as the tap has not been turned off.  Deflation and then massive inflation.

Mon, 05/19/2014 - 09:01 | 4773187 jubber
jubber's picture

So although I think Gold & Silver should be a load higher anyone got a clue why it has spiked today, especially after Putin's comments?

Mon, 05/19/2014 - 09:51 | 4773364 insanelysane
insanelysane's picture

China vs Vietnam

Mon, 05/19/2014 - 09:57 | 4773380 Ignatius
Ignatius's picture

Yes, that and no inflation, of course.

Mon, 05/19/2014 - 09:01 | 4773189 madcows
madcows's picture

So, we should all get out of treasuries now and jump into cash?

Mon, 05/19/2014 - 09:12 | 4773204 Dr. Engali
Dr. Engali's picture

Think Japan. Rates are going lower.

Mon, 05/19/2014 - 09:31 | 4773293 Redneck Hippy
Redneck Hippy's picture

Exactly.  Japan is printing. China is printing massive quantities. ECB will have to start printing to keep Euro from climbing.  Money is fungible.  The effect of all this printing, especially with Fed pulling back, is to send bond yields lower. 

Mon, 05/19/2014 - 09:36 | 4773311 fonzannoon
fonzannoon's picture

i don't know that i believe they will print to buy bawnds like they have been. that accomplishes nothing. They need to start sending out some checks if they want to goose gdp.

Mon, 05/19/2014 - 09:40 | 4773324 Dr. Engali
Dr. Engali's picture

The checks will come from the redistributioner -n- chief. Probably around election time.

Mon, 05/19/2014 - 09:44 | 4773341 fonzannoon
fonzannoon's picture

well the 10yr back above 2.5, Nasdaq rallying and dow/S&P following. 72 degrees and sunny. i'll be damned if i stay glued to the markets today. later fellas, enjoy the day.

Mon, 05/19/2014 - 10:45 | 4773590 disabledvet
disabledvet's picture

Anything to keep the carry trade...or just plain carry (cover the spread)...alive.

Sometimes "don't just do something, stand there" is not a bad order.

Mon, 05/19/2014 - 09:44 | 4773338 cro_maat
cro_maat's picture

Checks to who? If you are a foreign bank you have been getting checks from the FED for a while now.

Hell I'll take a check but I think I am not on that list. Now the FEMA list... I am definitely on that one LOL

Mon, 05/19/2014 - 09:46 | 4773344 fonzannoon
fonzannoon's picture

3k for thingamajigs was just the opening offer. 

Mon, 05/19/2014 - 09:02 | 4773192 101 years and c...
101 years and counting's picture

how to lower rates:  taper/not print.

how to raise rates: print.

ie: "markets" do opposite of expressed intentions of the clueless honks at Fed.

Mon, 05/19/2014 - 09:02 | 4773193 Rathmullan
Rathmullan's picture

Hey, it's past 9:00 a.m.! Someone please wake the guy on the JPY switch!

Mon, 05/19/2014 - 09:03 | 4773196 Stoploss
Stoploss's picture

>      <

   __

 

 

Mon, 05/19/2014 - 09:03 | 4773197 pachanguero
pachanguero's picture

Have faith in our Dear Leaders.  It takes a long while to distroy a great nation.

 

Mon, 05/19/2014 - 09:04 | 4773199 AUD
AUD's picture

Who's that?

I've been saying for some time the 10 year yield is going somewhere near zero, though it's impossible to say when that day will come. Maybe tomorrow, maybe in 10 years.

Mon, 05/19/2014 - 09:04 | 4773200 pods
pods's picture

We are just that damn good!  A bankrupt over spending bully and people (Belgium?) are falling over themselves to buy our debt.

pods

Mon, 05/19/2014 - 09:06 | 4773208 LawsofPhysics
LawsofPhysics's picture

Decent POMO today pods... 

let's see where it all closes.

Mon, 05/19/2014 - 09:05 | 4773202 pachanguero
pachanguero's picture

Gold seems to have found support around the 13 handel.  Here is Asia it's selling!

Mon, 05/19/2014 - 09:05 | 4773206 LawsofPhysics
LawsofPhysics's picture

MyIRA?  No, pretty good POMO today...

 

Fuckers.  I sold in November.  Never before have the "sidelines" looked so good...

considering more property as farmland seems to be coming down a bit.

Have always wante to grow more blueberries, although midwestern blueberries definitely don't have the same sweet flavor that Coastal Maine blueberries do.

Mon, 05/19/2014 - 09:15 | 4773240 Dr. Engali
Dr. Engali's picture

It's been a good year so far. Rolled out of small/mid caps in January into large cap dividends and bonds, and have been raising cash on the rallies over the past month and a half. 

Mon, 05/19/2014 - 11:12 | 4773704 TheReplacement
TheReplacement's picture

Plant them near pine trees - that helps.

Mon, 05/19/2014 - 09:09 | 4773216 madcows
madcows's picture

No need to worry. I just looked.  It was down to about 1.4 back in july, 2012.  We've got a long ways to go.

Mon, 05/19/2014 - 09:13 | 4773230 fonzannoon
fonzannoon's picture

Yup, most likely if the 10yr is back at around 1.5% you can probably peg the dow at 25k,

Mon, 05/19/2014 - 09:12 | 4773229 Hindenburg...Oh Man
Hindenburg...Oh Man's picture

Gold looks better at 1300 on the way up than on the way down. 

Mon, 05/19/2014 - 09:13 | 4773235 pachanguero
pachanguero's picture

Million Dolloar Bonus cracks me up!  Real Satire 24 seven!  loveit!

Mon, 05/19/2014 - 09:38 | 4773316 Seasmoke
Seasmoke's picture

His older posts, were much funnier. He is struggling now. 

Mon, 05/19/2014 - 09:50 | 4773363 cro_maat
cro_maat's picture

I think he has been replaced by his cousin. A year ago he would give a few paragraphs of total over the top drank the koolaid rant that made you smile. He is definately in a slump.

Let's all chip in and get him a hitting coach.

Mon, 05/19/2014 - 09:16 | 4773246 greatbeard
greatbeard's picture

Gold above $1,300!!!! 

Gold below $1,300!!!

Gold above $1,300!!!

Gold below $1,300!!!!

Gold above $1,300!!!

Groundhog Day.

Mon, 05/19/2014 - 10:01 | 4773395 lolmao500
lolmao500's picture

Buying TBills to cover against a China-Vietnam, Russia-Ukraine war?

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