The Craziest Thing About the Debt Ceiling Drama Is What It Means for Bonds

Bloomberg2021-09-13

You know the old James Carville quote about the bond market. It’s a truism in markets that when things get bad enough, investors will reach for the safety of U.S. government debt — even when the ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

Fungicide
2021-09-13
Fungicide
Ok
- Zhenghao:
  Nice
Rainingal
2021-09-13
Rainingal
Like
ahleemama
2021-09-13
ahleemama
LIMITLESS CEILING

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/1116427664?lang=en_US&edition=fundamental","thumbnail":"","is_english":true,"pubTime":"2021-09-13 20:45","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"1116427664","market":"fut","top_or_hot":-1,"title":"The Craziest Thing About the Debt Ceiling Drama Is What It Means for Bonds","media":"Bloomberg","content":"<div>\n<p>You know the old James Carville quote about the bond market.\nIt’s a truism in markets that when things get bad enough, investors will reach for the safety of U.S. government debt — even when the ...</p>\n\n<a href=\"https://www.bloomberg.com/news/articles/2021-09-13/the-craziest-thing-about-the-debt-ceiling-drama-is-what-it-means-for-bonds?srnd=markets-vp\">Source Link</a>\n\n</div>\n","source":"lsy1584095487587","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>The Craziest Thing About the Debt Ceiling Drama Is What It Means for Bonds</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nThe Craziest Thing About the Debt Ceiling Drama Is What It Means for Bonds\n</h2>\n\n<h4 class=\"meta\">\n\n\n2021-09-13 20:45 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.bloomberg.com/news/articles/2021-09-13/the-craziest-thing-about-the-debt-ceiling-drama-is-what-it-means-for-bonds?srnd=markets-vp><strong>Bloomberg</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>You know the old James Carville quote about the bond market.\nIt’s a truism in markets that when things get bad enough, investors will reach for the safety of U.S. government debt — even when the ...</p>\n\n<a href=\"https://www.bloomberg.com/news/articles/2021-09-13/the-craziest-thing-about-the-debt-ceiling-drama-is-what-it-means-for-bonds?srnd=markets-vp\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"FT_SY_ZB","symbol_name":"30年美债","start_time":0,"source_url":"https://www.bloomberg.com/news/articles/2021-09-13/the-craziest-thing-about-the-debt-ceiling-drama-is-what-it-means-for-bonds?srnd=markets-vp","article_id":"1116427664","we_media_id":null,"thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=1116427664","pubTimestamp":1631537115,"sourceInfo":{"source_id":"lsy1584095487587","name":"Bloomberg"},"weMediaInfo":null,"summary":"You know the old James Carville quote about the bond market.\nIt’s a truism in markets that when thin","collect":0,"end_time":0,"defaultTopTitle":"bloomberg.com","property":[],"viewcount":null,"language":"en","relate_stocks":{".DJI":"道琼斯",".IXIC":"NASDAQ Composite",".SPX":"S&P 500 Index"},"translate_title":"债务上限最疯狂的事情是它对债券意味着什么","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{".DJI":0.9,".IXIC":0.9,".SPX":0.9,"ZBmain":0.9,"ZNmain":0.9},"content_text":"You know the old James Carville quote about the bond market.\nIt’s a truism in markets that when things get bad enough, investors will reach for the safety of U.S. government debt — even when the proximate cause of the market’s concern is the U.S. government itself.\nThat’s a point worth remembering as America hurtles towards another debt ceiling deadline showdown, with Treasury Secretary Janet Yellen warning last week that her department will probably reach the federal borrowing limit sometime in October.\nWhile the brinkmanship is already starting to impact yields on shorter-maturity T-bills, with investors asking for more compensation to hold the bonds, there’s no guarantee that a debt ceiling drama will have a similar effect on longer-term U.S. Treasuries.\nAs JPMorgan points out in research published over the weekend, yields on benchmark U.S. government bonds have actually fallen for three out of the past five debt ceiling showdowns thanks to the safe haven bid. The chart below shows the performance of yields on 10-year Treasuries in 2011, 2013, 2015, 2017 and 2019, and adjusted for expectations around interest rates and inflation.\nSource: JPMorgan\nYou can see that yields didn’t do much of anything in 2017 and 2019, two years in which Congress managed to raise the debt ceiling with some time to spare. But the story was different in 2011, 2013 and 2015 — when fraught negotiations dragged closer and closer to the deadline.\nBack then, nervous investors keen to protect their portfolios against the possibility of a technical default by the U.S. government, reached (obviously) for the safety of U.S. government debt, and yields fell.\n“Knowing that the House is not back in session for another 10 days, and that Congress has numerous legislative balls in the air, it’s likely that these negotiations leak into late September and perhaps beyond, running the risk that this lack of action leads Treasury yields to decline as risk aversion increases,” JPMorgan analysts led by Alex Roever write.\nPrivilege, thy name is the U.S. government bond market.","kind":"news","is_publish_news":true,"is_publish_highlight":true,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[{"id":886081645,"gmtCreate":1631538942587,"gmtModify":1676530569372,"author":{"id":"3584156550656782","authorId":"3584156550656782","name":"Fungicide","avatar":"https://static.tigerbbs.com/6a7ff2025264d77893de60cd3715dc7d","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3584156550656782","authorIdStr":"3584156550656782"},"htmlText":"Ok","listText":"Ok","text":"Ok","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/886081645","repostId":1116427664,"repostType":4,"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":5854117,"gmtCreate":1631539404256,"gmtModify":1663233822835,"authorId":3577189579318003,"author":{"id":3577189579318003,"idStr":"3577189579318003","authorId":3577189579318003,"name":"Zhenghao","avatar":"https://static.tigerbbs.com/9bc02f1c85fb8e61dbc393ac0ad551db","vip":1,"crmLevel":2,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":886081645,"type":1,"supId":0,"prevId":0,"content":"Nice","text":"Nice","html":"Nice"}],"langContent":"EN"},{"id":886010736,"gmtCreate":1631537772125,"gmtModify":1676530569083,"author":{"id":"4093487679880420","authorId":"4093487679880420","name":"Rainingal","avatar":"https://community-static.tradeup.com/news/acf389c6dc5121537642ad9a8691cf7d","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"4093487679880420","authorIdStr":"4093487679880420"},"htmlText":"Like","listText":"Like","text":"Like","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/886010736","repostId":1116427664,"repostType":4,"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":886035792,"gmtCreate":1631537513916,"gmtModify":1676530568982,"author":{"id":"3585830139314556","authorId":"3585830139314556","name":"ahleemama","avatar":"https://static.tigerbbs.com/9e5556ad29b085a364d6ea7d326015c1","vip":1,"crmLevel":1,"crmLevelSwitch":0,"idStr":"3585830139314556","authorIdStr":"3585830139314556"},"htmlText":"LIMITLESS CEILING","listText":"LIMITLESS CEILING","text":"LIMITLESS CEILING","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/886035792","repostId":1116427664,"repostType":4,"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"}],"isCommentEnd":false,"newsSizeData":{"likeSize":33,"commentSize":3,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.3","shortVersion":"4.29.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/1116427664"}