Cheap Convexity

Cheap Convexity

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Cheap Convexity
Cheap Convexity
The Bond Market is not Omniscient

The Bond Market is not Omniscient

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Jon Turek
Jul 21, 2021
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Cheap Convexity
Cheap Convexity
The Bond Market is not Omniscient
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The story of the past few weeks has clearly been the bond market. Since the beginning of June, the 10-year Treasury yield has fallen almost 40 basis points. In terms of real yields, 10-year real yields are back to their 2020 lows and have now given back all of the post vaccine/blue wave rise. The question everyone in the market is asking, “What does the…

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