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BUSINESSBloomberg Markets·14h ago

Bond Market’s ‘Extreme’ Short Counts on Fed to Deliver Hike

BUSINESSBEATPOST
AI TLDR · GEMINI

Bond traders have significantly increased bearish positions ahead of this week’s Federal Reserve meeting, betting that Treasury yields will continue to rise from their current 20-year highs. These short positions signal a market expectation that the central bank will maintain its aggressive stance on interest rates. The trend reflects a prevailing conviction that the current selloff in the bond market has yet to reach its peak.

Bond traders have piled into bearish positions ahead of Wednesday’s Federal Reserve meeting, betting that the Treasury selloff driving yields to their highest in almost two decades will continue.

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