Bond Bears Popping Champagne Say U.S. Yields Have Room to Rise
- ‘We wish we were even shorter’ on U.S., says Sydney investor
- Next up: Friday’s payrolls report, with expectations raised
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A week after Treasuries mysteriously rallied in the wake of the Federal Reserve lifting its long-term interest-rate forecast, short sellers in the $15 trillion market have reason to celebrate.
The bond selloff deepened Thursday after data Wednesday on U.S. private-sector jobs bolstered the case for the Fed to keep raising rates into 2019, sending 10-year notes down the most in more than a year. Thirty-year Treasury yields pushed above the 3.25 percent level that fixed-income veteran Jeffrey Gundlach identified as a “game changer.”