Obama Tax Cuts Cause Stiff Treasury Selloff
Wednesday, December 8th, 2010 | Comments Off on Obama Tax Cuts Cause Stiff Treasury Selloff
President Obama’s tax-cut agreement with House Republicans has led to the second day of widespread drops in Treasury bond and note prices. Fearing that the plan will create deeper budget deficits and raise interest rates, bond prices have plummeted.
The yields on Treasury bonds and notes jumped as their prices fell.
The 10-year T-note yield rose to 3.24% percent, its highest since June and a stiff increase over last week’s trading prices as well.
Mad Hedge Fund Trader John Thomas, who we recently reported on, had forecast this move whcih you can learn about through the second video in this series:
Bond Prices in 2011 and World Trends Video
