Bull Steepening since the FOMC Meeting

Here is an additional change as of 6/3/2024:

Figure 1: The change from 1 June 2024 in the 10-year to two-year term spread (bold black), the contribution to the change from the 10-year yield (blue bars), from the 2-year yield (tan), all in percentages. Source: Treasury via FRED, and author’s calculations.

What does this mean? Who knows (as recounted in this FT article). I’m not sure there’s much to think about, as I conclude by looking at previous bear- and bull-whistle events.

Here is another illustration of what happened in the distribution, across the spectrum.

Source: US Treasury.

This entry was posted in with Menzies Chinn.


Source link