Why Bond Yields Are Tumbling: Thank China
The entire US Treasury complex has seen yields plunge following last night’s “surprise-that-everyone-except-Wall-Street-economists-saw-coming” Yuan devaluation. While there are numerous factors driving the rally in bonds, RanSquawk notes two crucial ones… that will likely persist… Via RanSquawk, T-Notes trade higher by around 15 ticks due to the following reasons: Firstly, the PBoC has acted to weaken…