Bonds Analysis & Opinion

It has been a long time since we have had to worry about and think about the phenomenon of mortgage convexity and the effect that it can have on the bond market. But with 10-year interest rates up...

Bonds had their biggest drop in 19 months, Tuesday, but I wouldn’t be surprised to see them rally some from here -- interest rates have gone very far, very fast and are approaching what I...

What's New: I've updated the charts below through Tuesday's close. The yield on the 10-year note stands at 2.15%, up 72 bps from its all-time closing low of 1.43% set last July and at its highest...

Well, bonds are having the kind of steadily collapsing market which makes equity bears like me envious. The ZB has been monkey-spanked all month long…….If you look at a broader chart,...

Bond futures are under significant pressure, today, with yields making a significant move higher (hitting new 2013 highs) and the yield on the U.S. 10 year is now over the annualized S&P yield for...

I got an email from a friend who runs money for a hedge fund that got my interest: "...may want to take a look at convexity vortex in mbs market and implications…" “Convexity...

In the 70’s, when I was cutting my teeth in investment management, we were in a bizarre world, which included the Sex Pistols and a phenomenon known as the reverse yield gap. For many years I...

As I type this, the market is exhibiting some bipolar disorder following multiple doses of Fed speak: Yesterday Bullard's presentation in Germany and Dudley's speech in New York, and today Bernanke's...

The 2s10s curve (both government bonds and swaps) has steepened by some 30bp in the past month and is now trading not far from range highs. The current pricing in the Riksbank is a cut of about 17bp...