Treasury Yield Plunge Approaches Flash Crash Pace

Few will ever forget the ferocity of the October short-squeeze in US Treasuries that flash-crashed yields. As Nanex notes however, today's yield plunge (price surge) is starting to shape up as an extreme flight-to-safety squeeze. As we noted earlier, US Treasury short positioning into this week was its highest in over 4 years...

 

Today vs October's yield flash crash...

 

The surge in futures prices is getting extreme

 

And this is maybe why...

 

 

 

Charts: Bloomberg, Nanex, BofAML