Thursday, March 2, 2017

Treasury Spreads March 2017

The above is the yield curve for Treasuries. There is significant flattening, namely short term higher and long term lower.
The above is the summary for the last ten years. Note the "explosion" of short term. Also the tightening of the spread. The FED still has a massive Balance Sheet problem loaded with truly junk mortgage notes. Wait till they unload that stuff. Perhaps they will also load it up with Student Debt!