Why is the 10 year yield rising?

Discussion in 'Trading' started by BlackRiverRider, Apr 8, 2017.

  1. truetype

    truetype

    Is there a reason to prefer yields to prices for charting / line-drawing / "analysis" purposes?
     
    #11     Apr 11, 2017
  2. dealmaker

    dealmaker

    No, just looking at it through different lens...
     
    Last edited: Apr 11, 2017
    #12     Apr 11, 2017
  3. You always want to use yields, since prices exhibit some effects which make them difficult to interpret.
     
    #13     Apr 11, 2017
    i960 and dealmaker like this.
  4. i960

    i960

    It may it instead be that bond players are more focused on yield rather than price as the driving factor of what to get into / out of?
     
    #14     Apr 11, 2017
  5. If you read The Merchant of Venice by William Shakespeare then you would understand why the 10 year Bond Yield is the one to keep an eye on!:sneaky:
     
    #15     Apr 11, 2017
  6. eurusdzn

    eurusdzn

    Treasury.gov is a good source for yields of bills, notes, bonds.

    Anyone trade the exchange TUT spread? I dont but am working on that.
    The entirencurve , 2 yeartomten year is falling but 2 under 10 spread is flattening steady and smooth. The 10 year yield is decreasing more that the 2 year. Possibly the "reflation off" trade is a bit stronger than the relative dovish fed expectations.

    Question for the traders..... Does the current TUT spread use ZTM17 and ZNM17 and roll
    As the outrights do? If so, must one close/reopen the TUT position and benefit from the roll yield when short this spread in the current rate environment( not inverted)
    thanks.
     
    #16     Apr 11, 2017
  7. Handle123

    Handle123

    Unless the stock market takes a huge tumble, flight to safety-quality, Bonds/Note future's highs' are in. And because USA didn't let meltdown to occur in 2008, just a matter of time when USA has another one which will be ten times as worse. Out government rather to always get involved in areas we should never get involved. In real world bad companies fail and get bought out by other companies or become bankrupt, and yet we reward CEOs that make companies much worse.

    I just wonder if Sears/Kmart will be rewarded when this company eventually goes bankrupt.
     
    #17     Apr 12, 2017
  8. As far as I am aware, TUT is just an 'execution' spread. Once filled, you'll have a position in the appropriate ZT and ZN contracts and you'll have to roll them yourself when the time comes.
     
    #18     Apr 12, 2017
  9. I don't know if it's right to generalise, but I can't imagine anyone cares about price... Everything in terms of risk and PNL is always about yield.
     
    #19     Apr 12, 2017
  10. eurusdzn

    eurusdzn

    I see, Thank you.
     
    #20     Apr 12, 2017