On Wednesday the TYX(CBOE 30 Yr. Treasury Yield Index) fell below the previous all time lows set back in July of 2016. There has been a slight bounce off Thursday’s early lows but the TYX is headed for its lowest weekly close ever. Hard to believe, during the first quarter of this year 30 year yields were flirting with the 3% level. We may see a close below 2% this week. Quite a move.
As seen in Charlie Bilello’s graph below, short term rates remain well above their lows. It’s likely the Fed will take advantage by cutting rates further through year end.
A look at global 10 Yr. Yields. Easy money as far as the eye can see.
Hat tip Charlie Bilello of Pension Partners.