When is this bubble going to burst?

We’ve previously discussed the bubble in US Treasuries, but it just seems to keep growing. When is it going to end is anyone’s guess, but we do know that The Fed has a seriously large position in US Treasuries, some say larger than China’s.

For comparison purposes, foreign holders of US Treasury debt [...]

What goes up must go down.

The chart above show the yield on what is known as a constant maturity treasury; effectively we’re graphing the yield on the 10Y Treasury over time.

You’ll note the aberration – from the early 80s, or for roughly thirty years, yields have been moving in one direction – DOWN. This can’t continue forever [...]