I sold TMF after the release of the initial jobless claims data, which came in lower than expected. This indicates a stronger labour market, suggesting that interest rates may remain elevated for a longer period. Since TMF is leveraged on long-term treasury bonds and is sensitive to sustained high rates, I felt it was a good time to reduce my exposure as prolonged high rates could continue to pressure the value of long-term bonds.
| Side | Price | Realized P&L |
|---|---|---|
| Sell Close | 48.67 | +0.10% Closed |
Modify on 2024-10-25 08:45
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it's a good time to reduce exposure to long-term bonds. What are your thoughts on the overall economic outlook?