Bond Market – Weekly Analysis

Four years. That’s how old our US10Y roadmap will be next month. And so far, the bond market has given us very little to complain about. Neither has the Fed. How thoughtful of them! But the real story may be just getting started. The bond market is slowly but surely approaching territory most investors have never experienced, and most textbooks barely remember. The kind of territory where old assumptions get tested, and expensive lessons are handed out for free. In this Bond Market Weekly, we’ll revisit last week’s TLT bear alert, examine the yield spread, and take the temperature of the bond market across the northern border in Canada. Is the trouble staying local, or is something bigger brewing? And the most uncomfortable question remains. It’s no longer whether rates can go higher. It’s how high this cycle is prepared to go. Let’s open the charts. They may have a…