Bond traders predict sell-off slowdown


Traders have been adding options wagers that yields will retreat from the 14-month highs reached in the wake of robust US jobs report . — Reuters

SOME bond traders are betting that the relentless sell-off in Treasuries will soon lose momentum, in part because of questions around how President-elect Donald Trump’s policies will take shape.

Traders have been adding options wagers that yields will retreat from the 14-month highs reached in the wake of last Friday’s robust US jobs report, which dashed expectations for further Federal Reserve (Fed) interest-rate cuts any time soon.

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