Treasury Yields Top Analyst Forecast For First Time In 2016

Before this morning’s ugly productivity data sent bond yields tumbling, 10Y Treasury yields had briefly surpassed the consensus analysts’ forecast of 2016 year-end levels.

Notably however, the analysts’ guesses have collapsed from 2.80% to 1.58% in the first 8 months of the year.

Having seen the collapse of the massive net short position in the Treasury complex squeezed to its longest since 2014, as rates have risen in the last 3 weeks, so shorts have begun to gather pace once again…

Judging by today’s productivity data, The Fed is going nowhere and so those newly laid out shorts may be about to suffer again.