‘It’s Already Up More Than $10 Million’ – Steepeners Are Starting To Pay

Anyone looking for evidence that the "reflation" meme was dead or, more recently, that the market perhaps has more faith in the Fed than they do in congress, need only look at the curve. Indeed it was just last week when the 5s30s was grabbing headlines after flattening through 91.6bp for the first time since December 2007. That, despite some favorable seasonality as noted earlier this month by Kevin Muir, the Macro Tourist: Now, some folks are betting that this trend is about to come to