What Rising Treasury Yields Really Tell FX Traders
Learn to separate rate expectations, term premium and inflation compensation before interpreting rising Treasury yields as a signal for the US dollar.
Treasury Auctions and FX: Reading the Transmission Mechanism
A Treasury auction can move currencies without changing a central bank’s policy rate.
Observation of selling US bonds in China
The Communist Party Newspaper and People’s Daily news bulletin reported on Thursday that university professors said that China could cut its US Treasury holdings from the current $1 trillion to around $800 billion. That is the topic. (Source: Reuters) Of course, if you sell U.S. Treasuries in earnest, a slump in U.S. Treasury prices is […]