A key measure of volatility in US Treasuries has fallen to its lowest point in more than three and a half years, signaling increased stability in the market after months of significant turmoil.
The ICE BofA MOVE Index, a measure of expected fluctuations in yields, closed at its lowest level since early 2022 on Thursday, News.Az reports, citing Bloomberg.
In another sign of optimism, auctions this week for US 10-year and 30-year government bonds received ample demand.
Government bonds have been pummeled this year by President Donald Trump’s trade tariff threats and concerns that increased fiscal spending will widen the budget deficit to unsustainable levels. Those headwinds haven’t entirely gone away though, and 10-year yields still inched higher on Friday, putting the bonds on track to fall for a second consecutive week.
Thursday’s auction of 30-year Treasuries was “well received,…
