01-19-2021, 07:51 AM
Why are long term treasury yield currently increasing, while short term yields stay
<!-- SC_OFF --><div class="md"><p><a href="https://www.treasury.gov/resource-center/data-chart-center/interest-rates/pages/TextView.aspx?data=yieldYear&year=2021">https://www.treasury.gov/resource-center/data-chart-center/interest-rates/pages/TextView.aspx?data=yieldYear&year=2021</a></p> <p>I guess it's obvious why short term rates are near zero - to try and stimulate the economy, so the question is why are long term yields on the rise. Is it a simple lack of demand for long term treasury debt, meaning they have to increase the yield to sell those bonds?</p> <p>If the difference between short and long term yields continues to widen, who is going to buy the short term debt?</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/dubov"> /u/dubov </a> <br/> <span><a href="https://www.reddit.com/r/investing/comments/kzsebf/why_are_long_term_treasury_yield_currently/">[link]</a></span> <span><a href="https://www.reddit.com/r/investing/comments/kzsebf/why_are_long_term_treasury_yield_currently/">[comments]</a></span>Kind Regards R
<!-- SC_OFF --><div class="md"><p><a href="https://www.treasury.gov/resource-center/data-chart-center/interest-rates/pages/TextView.aspx?data=yieldYear&year=2021">https://www.treasury.gov/resource-center/data-chart-center/interest-rates/pages/TextView.aspx?data=yieldYear&year=2021</a></p> <p>I guess it's obvious why short term rates are near zero - to try and stimulate the economy, so the question is why are long term yields on the rise. Is it a simple lack of demand for long term treasury debt, meaning they have to increase the yield to sell those bonds?</p> <p>If the difference between short and long term yields continues to widen, who is going to buy the short term debt?</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/dubov"> /u/dubov </a> <br/> <span><a href="https://www.reddit.com/r/investing/comments/kzsebf/why_are_long_term_treasury_yield_currently/">[link]</a></span> <span><a href="https://www.reddit.com/r/investing/comments/kzsebf/why_are_long_term_treasury_yield_currently/">[comments]</a></span>Kind Regards R