Bond Bears Battered By The Biggest Short Squeeze In History

In the week when it was confirmed that Q1 was the weakest economic growth for a rate hike period since 1980...

 

Bond bears have never puked so much in such a short period of time as the $25 billion plus short-cover in 10Y Treasury bond futures in the last week.

 

In fact the stunning swing in sentiment in the last 8 weeks (with almost $62 billion in 10Y Treasury shorts dumped) is shocking to see, smashing Speculative Positioning from its shortest ever to its longest in over 9 years...

 

And perhaps more notably, the aggregate Treasury futures complex has shifted to a net long speculative position for the first time since July 2016...

 

Note that Eurodollar futures shorts (rate hike bets) did increase modestly this last week (after dropping the week before).