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(New York)
Here is an odd analogy. Morgan Stanley says that the way one should trade the yield curve right now is just like they should trade Bitcoin-buy the dips. Morgan Stanley says the yield curve is inevitably flattening, so it makes sense to buy the dips along the way. The comments come from Matthew Hornbach, global head of interest rates strategy at MS. The spread between the two- and thirty-year Treasuries fell to 104 bp yesterday, their lowest spread in 10 years.
FINSUM : Some are calling for the yield curve to invert next year on the back of Fed hikes. That means this strategy makes sense now, but an inverted curve would likely bode very poorly for markets as a whole.
- yield curve
- flattening
- bonds
- bitcoin
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
