"Absolutely Spectacular Meltdown": The Basis Trade Is Blowing Up, Sparking Multi-Trillion Liquidation Panic

We first had a sense that something was off two weeks ago when we read that the Fed was preparing to bail out basis traders, i.e., the largest, multi-strategy hedge funds in the world, including Millennium, Citadel, Point72, Balyasny, Exodus Point due to their staggering exposure to basis trade (see "