If you're wondering why the USD got "backwards," then there's one reason we should look at. Net dollar positions have gone into negative territory early in the year, and this means that growth in recent weeks is not backed by major option traders. On the other hand, the net option positions on the 10-year bonds also go into negative territory. According to Societe Generale SA strategists, the bear positioning of option traders in 10-year US bonds is at a record level and the dollar is down, and yields on 10-year bonds are almost certain. It seems that the 3% yield break will be fake, and the bullish trend in the stock will remain.
Source: Bloomberg Pro Terminal
Read more:
25 Canada Square, Level 33, office 50, Canary Wharf London, E14 5LQ +44 20 3608 6256
World Financial Markets - 0700 17 600 Varchev Exchange - 0700 115 44
Varchev Finance Ltd is registered in the FCA (FINANCIAL CONDUCT AUTHORITY) with a passport in the United Kingdom: FCA, United Kingdom - registration number: 494 045, which allows provision of financial services in the United Kingdom.
Varchev Finance Ltd strictly comply with the statutes of the European directive MiFID (Markets in Financial Instruments). targeting increased efficiency, transparency and uniformity of financial instruments.
Varchev Finance Ltd is authorized and regulated by the Financial Supervision Commission - Sofia, Bulgaria: License number RG-03-02-05 / 15.03.2006
The information on this site is not intended for distribution or use by any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
Disclaimer:
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63,41% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.