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A comment on Federal Reserve pledges asset purchases with no limit to support markets. Parent comment

Re:Federal Reserve pledges asset purchases with no limit to ... by nemo44x on Monday March 23, 2020 @09:47AM (#22664049)
Have you looked at the credit market this month? It’s in shambles as yields are soaring. It’s not that higher yields is bad. But moving so quickly is dangerous. Bonds, etc are necessary to maintain supply lines, pay people, etc.
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Re:Federal Reserve pledges asset purchases with no limit to ... by xiphias2 on Monday March 23, 2020 @10:26AM (#22664381)
Where are yields soaring?

Here it looks like they are going down:

https://www.treasury.gov/resource-center/data-chart-center/i...

It wouldn't surprise me if the 80 year bond bubble popped this year, but I don't see that happening yet.

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Re:Federal Reserve pledges asset purchases with no limit to ... by nemo44x on Monday March 23, 2020 @10:57AM (#22664692)
The same reason mortgage rates are up even as treasuries are at an all time low. Who wants to loan money in this environment?

Have you looked at BBB bonds? A lot of companies have been downgraded because the conditions have changed so dramatically, driving yields up as well.

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Re:Federal Reserve pledges asset purchases with no limit to ... by xiphias2 on Monday March 23, 2020 @11:56AM (#22665220)
I see, thanks!

When do you think it will translate to treasury bonds crashing? I can't imagine them having 5 more years, but on the short term they can easily go to negative yields.

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Re:Federal Reserve pledges asset purchases with no limit to ... by thoughtstheseus on Monday March 23, 2020 @10:37AM (#22664488)
Corporate bonds.
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Re:Federal Reserve pledges asset purchases with no limit to ... by jrumbut on Monday March 23, 2020 @12:26PM (#22665540)
An environment of high yields should be the reward for people who made hay while the sun shined.

If we're gonna have socialism, let's have socialism for the poor and capitalism for the rich and not the other way around.

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