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Mortgage Rates Hit 7.4%. The 10-Year Did Most of It.
The mortgage rate rose 113 basis points in a year and the 10-year yield rose 115, so the gap barely changed. Over the last five weeks, half the jump was spread.
Tech Falls From Three Sigma. Credit Is the Vote That Counts.
XLK/SPY drops to +1.92 sigma in eleven sessions while JNK/GOVT holds above +1.0 sigma. Eleven comparable credit slips say the level, not the month, is the signal.
The Fed Finally Hiked. The Bond Market Is Doing the Tightening For It. TSPY Was Designed For Both.
How a daily 0DTE covered call strategy on the S&P 500 seeks to generate monthly distributions in a market shaped by the first rate hike since 2023, a 5.28% 10-year yield, and a still-compressed VIX.
The 10-Year Hit 5.31%. The Bond Market Says It Is Not Inflation.
The 10-year yield rose 97 basis points this year, and 87 of them were real yield. Oil is up 78%, yet 10-year inflation expectations moved 10 basis points.