Year of the bond dashed as Treasuries set for worst week of 2023

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“With $US32 trillion of debt and large deficits as far as the eye can see and higher refi rates, an increasing supply” of Treasuries is assured, Ackman wrote in a post on X, the platform formerly known as Twitter. “It is hard to imagine how the market absorbs such a large increase in supply without materially higher rates.” Ackman said he’s placing sizable bets on declines in 30-year Treasuries using options, both as a hedge against rising stocks, and also because there’s a strong case for yields to keep going higher. Yields are also likely to rise due to the...