Treasury Bond Market in Historic Bear Market as Yields Surge on Fed Rate Hikes
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U.S. Treasury bond market has shed almost 25% of its value since 2020, the biggest bear market in history according to Bank of America.
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Previous biggest declines were in 1860 before Civil War (18.7% drop) and late 1830s during Jackson presidency (16% drop).
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Comes after one of the longest bull runs ever, with steady returns for 40 years leading up to 2020.
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Yields on 10-year Treasurys have soared since early 2021 as Federal Reserve hiked rates to combat high inflation.
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Treasury bond ETFs like TLT and IEF that track bond prices have lost 25-50% of their value amid rising yields.
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