{"id":38700,"date":"2018-10-04T11:55:04","date_gmt":"2018-10-04T16:55:04","guid":{"rendered":"http:\/\/olduvai.ca\/?p=38700"},"modified":"2018-10-04T11:55:04","modified_gmt":"2018-10-04T16:55:04","slug":"we-just-witnessed-the-biggest-u-s-bond-crash-in-nearly-2-years-what-does-this-mean-for-the-stock-market","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=38700","title":{"rendered":"We Just Witnessed The Biggest U.S. Bond Crash In Nearly 2 Years \u2013 What Does This Mean For The Stock Market?"},"content":{"rendered":"<header class=\"entry-header\">\n<h3 class=\"entry-title\"><a href=\"http:\/\/theeconomiccollapseblog.com\/archives\/we-just-witnessed-the-biggest-u-s-bond-crash-in-nearly-2-years-what-does-this-mean-for-the-stock-market\">We Just Witnessed The Biggest U.S. Bond Crash In Nearly 2 Years \u2013 What Does This Mean For The Stock Market?<\/a><\/h3>\n<\/header>\n<div class=\"entry-content\">\n<p><a href=\"http:\/\/theeconomiccollapseblog.com\/archives\/we-just-witnessed-the-biggest-u-s-bond-crash-in-nearly-2-years-what-does-this-mean-for-the-stock-market\/bond-crash-public-domain#main\" rel=\"attachment wp-att-14333\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-large wp-image-14333\" src=\"http:\/\/theeconomiccollapseblog.com\/wp-content\/uploads\/2018\/10\/Bond-Crash-Public-Domain-540x360.png\" sizes=\"auto, (max-width: 540px) 100vw, 540px\" srcset=\"http:\/\/theeconomiccollapseblog.com\/wp-content\/uploads\/2018\/10\/Bond-Crash-Public-Domain-540x360.png 540w, http:\/\/theeconomiccollapseblog.com\/wp-content\/uploads\/2018\/10\/Bond-Crash-Public-Domain-300x200.png 300w, http:\/\/theeconomiccollapseblog.com\/wp-content\/uploads\/2018\/10\/Bond-Crash-Public-Domain-768x512.png 768w, http:\/\/theeconomiccollapseblog.com\/wp-content\/uploads\/2018\/10\/Bond-Crash-Public-Domain.png 1280w\" alt=\"\" width=\"540\" height=\"360\" \/><\/a>U.S. bonds have not fallen like this since Donald Trump\u2019s stunning election victory in November 2016.\u00a0 Could this be a sign that big trouble is on the horizon for the stock market?\u00a0 It seems like bonds have been in a bull market forever, but now suddenly bond yields are spiking to alarmingly high levels.\u00a0 On Wednesday, the yield on 30 year U.S. bonds rose to the highest level since September 2014, the yield on 10 year U.S. bonds rose to the highest level since June 2011, and the yield on 5 year bonds rose to the highest level since October 2008.\u00a0 And this wasn\u2019t just a U.S. phenomenon.\u00a0 We saw bond yields spike all over the developed world on Wednesday, and the mainstream media is attempting to put a happy face on things by blaming a \u201cbooming economy\u201d for the bond crash.\u00a0 But the truth is not so simple.\u00a0 For U.S. bonds, Bill Gross says that it was a lack of foreign buyers that drove yields higher, and he says that <a title=\"this may only be just the beginning\" href=\"https:\/\/www.zerohedge.com\/news\/2018-10-03\/why-bonds-are-crashing-according-bill-gross\" target=\"_blank\" rel=\"noopener noreferrer\">this may only be just the beginning<\/a>\u2026<\/p>\n<blockquote><p>And, according to Gross, the carnage may not end here: <strong>\u201cLack of foreign buying at these levels likely leading to lower Treasury prices,\u201d<\/strong> echoing what we said last week. And as foreign investors pull back from US paper, <strong>look for even higher yields, and an even higher dollar, which in turn risks re-inflaming the EM crisis that had mercifully quieted down in recent weeks<\/strong>.<\/p><\/blockquote>\n<p>I believe that Gross is right on target.<\/p>\n<p>And Jeffrey Gundlach has previously warned that when yields get to this level that it would be a <a title=\"\u201cgame changer\u201d\" href=\"https:\/\/www.cnbc.com\/2018\/10\/03\/rates-are-above-levels-bond-king-gundlach-called-game-changer.html\" target=\"_blank\" rel=\"noopener noreferrer\">\u201cgame changer\u201d<\/a>\u2026<\/p>\n<\/div>\n<p>\u2026click on the above link to read the rest of the article\u2026<\/p>\n","protected":false},"excerpt":{"rendered":"<p>We Just Witnessed The Biggest U.S. Bond Crash In Nearly 2 Years \u2013 What Does This Mean For The Stock Market? U.S. bonds have not fallen like this since Donald Trump\u2019s stunning election victory in November 2016.\u00a0 Could this be a sign that big trouble is on the horizon for the stock market?\u00a0 It seems [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[1719,6051,9223,3186,88,181,6061,312,4860,22101,8768,2491,4901,536,6066,3843,1138,753,7452,22102,22103],"class_list":["post-38700","post","type-post","status-publish","format-standard","hentry","category-economics","tag-bond","tag-bond-crash","tag-bond-prices","tag-bond-yields","tag-bonds","tag-crisis","tag-financial","tag-financial-crisis","tag-financial-panic","tag-flight-to-quality","tag-flight-to-safety","tag-government-bonds","tag-michael-snyder","tag-money","tag-panic","tag-smart-money","tag-stock-market","tag-stocks","tag-the-economic-collapse-blog","tag-u-s-bond-yields","tag-u-s-government-bonds"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/38700","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=38700"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/38700\/revisions"}],"predecessor-version":[{"id":38701,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/38700\/revisions\/38701"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=38700"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=38700"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=38700"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}