Friday, April 11, 2025

So It Was A Metaphysical Exam?

I didn’t know Walter Reed could test for that. Congratulations, you did. No one can believe what you’ve done to the economy. Uh-huh.
The bond market sell-off escalated Friday to cap off one of the most volatile and unusual trading weeks in recent memory as President Trump's tariff whipsaw sent yields surging and investors fled safe haven assets.

Long-term Treasury yields skyrocketed, with the 10-year yield (^TNX) surging to its highest level since February to trade as high as 4.59%, a massive 72 basis point swing from Monday's low of 3.87%. Shortly after the closing bell, yields pulled back to around 4.49%.
The bond market is almost literally shitting bricks. What was that cognitive test again? Sure you did. Nobody understands what you’re doing because it doesn’t make sense and you can’t explain it and you change it every 24 hours. Besides:
The mighty dollar, ordinarily a safe haven during times of market-based stress, is falling apart, and its ongoing year-to-date slide is pointing to a much bigger problem for all U.S. assets.

That’s because the weakening greenback has been accompanied by a dramatic selloff in U.S. government debt and whipsaw action in all three major stock indexes on Friday, following a historic rally and big selloffs in equities over the past week. Such coinciding moves — falling dollar, bonds and equities — like the ones seen recently are “rare, ugly and worrying,” according to a team at Evercore ISI, a research arm of New York-based investment-banking advisory firm Evercore.
Gee, why all those “coinciding moves” at once?

You really are just dumb as a post, aren’t you?

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