Amid Global Bond Bloodbath, Goldman Delta-One Desk Warns "Fed May Be Forced To Hike"

Yesterday, the official story from Goldman's chief economist, Jan Hatzius was 'The Fed's not hiking', citing real spending slows to 1-1.5% in H2, trend jobs around 5k, stating that a September hike was “very unlikely,” and “we still think market pricing for the funds rate is too hawkish.”

Then overnight saw the 30Y TSY yields rising to 5.325% (highest since 2007), 10Y above 4.74%, WTI testing $85 as another vessel hit leaving Hormuz and the MoU expired (Trump declined to extend it).

This is increasingly global...