Treasury Curve Collapses To Fresh 10-Year Lows After Data Dump

Tyler Durden's picture

Hot CPI, disappointing retail sales, slumping surveys, and a drop in real wages... is it any wonder the yield curve just flushed another 3bps to a 75bps handle - the flattest 5s30s curve since Nov 2007.


This is the 13th daily flattening out of the last 15 days...


Everything changed after China intervened in it's FX market 'Shanghai Accord'-style...


There was some serious volume in Treasury futures as the data hit...

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GlassHouse101's picture

The only thing worse than holding dollars, is the promise of holding dollars 10 years from now.

buzzsaw99's picture

The only thing worse than holding dollars is owing somebody usd and not having any ten years from now.  fify

GlassHouse101's picture

I know we said 10 years ago these dollars have value, but we lied, sorry, here's your TP, though.

wmbz's picture

With this steady flow of good news day in and day out, stawks will only rip higher.

Only thing to do is BTFD!

No Time for Fishing's picture

Only BTFD with leverage use Futures, Options, Options on Futures, Options on 3x EFT's. 

Yen Cross's picture

     This doesn't bode well for equity markets. The deck chairs are be re-arranged.

 Did I forget to mention I was short IG, HYG?

No Time for Fishing's picture

No No No Buy the Dip. There will never be a better buying opportunity this week buy the dip and keep buying all the way down then hold hold hold NATH ahead!

No Time for Fishing's picture

If you would have bought ES at 8:44 Central this morning you would be up $500 per contract already. 2556 to 2566 . 

No Time for Fishing's picture

Fundamentally it doesn't make sense to buy at these high levels but fundamentally nothing has changed in the last 24 hours to demand sell sell sell so the buy bots will have no trouble running this dip right back up. 

shankster's picture

No dumping on Fudge Hill.

shankster's picture

Hang on to the green or go for the gold?

buzzsaw99's picture

i don't know but i've been told

eskimo pussy is mighty cold...

shankster's picture

Another day, another dip.

No Time for Fishing's picture

Traders or trader bots doing what they do trading, push down make money push up make money, good money in movement; make sure you stay in sync with them. 

Yen Cross's picture

  If we get a couple of outside bearish daily closes in ES, I might have to BTFD?  

  *Downvotes are appreciated.

FreeNewEnergy's picture

The stock market is only good for propaganda.

When it starts going down - now - the message changes and the elites have planned it.

A year from now, we will be told the recession started in the thrid quarter of 2017.

Thanks for the warning.

BTW: We're screwed no matter what happens to stocks, bonds, silver, gold, oil, or anything else.

The taxes are TOO DAMN HIGH!

lester1's picture

You can't fucking cut taxes when you're $20.5 trillion in debt !!


A sovereign debt crisis is coming!

chestergimli's picture

Get rid of any and all monetary systems-problems solved.

Sky flyer's picture

Here’s your dip. Just like yesterday morning. Feds will be back from the morning coffee break soon. Buy! Buy! Buy!

djrichard's picture

13 week treasury is at 1.24%.  Above the threshold needed by the Fed Feserve to increase the Fed Funds rate.  But even with a 25 basis point increase, the Fed Funds rate wouldn't be enough to invert the yield curve (the 10Y yield has been rising enough to stay out of reach).  But it is getting closer to that eventuality: the 10Y yield will eventually plateau out and the 13W will catch up with it.

katagorikal's picture

10Y cannot plateau if QT actually happens.
Long rates will rise with more UST supply.

Madolf Sanders Hitler's picture

who gives a crap about 25bp/yr when you can make 10%/day in equities?