The Fed and better GDP data made the bond market think — just for a moment — that Yellen might hike rates at some date in the next year.
A soft non-farm payrolls report with weak wage growth crushed that idea and crushed bond shorts once again. After hitting 2.61% yesterday, the 10-year yield is now barely hanging onto a weekly gain and trading at 2.48%.
I’ve said it before: If you’re going to short bonds you better kiss your wife and tell her you love her before you go into work, because you’ll be coming home poor.
Bond shorts saying goodbye before heading to the office
