Show Notes
Send us Fan Mail Everyone's been freaking out about oil and stocks, but the scariest thing this past week actually happened in bonds, and almost nobody was talking about it. Last week the US Treasury held three auctions that were utter disasters, with dealer takedown more than double its 12-month average — worse than the tariff panic of April 2025. We get into what that means and why it matters.Then we get into the viral Fortune Magazine article claiming the US Treasury declared the federal government insolvent. It did not... the numbers they used aren't wrong — but the way they used them is, and we explain why you simply cannot apply corporate accounting rules to a sovereign government that prints its own currency and has a military. That said, we're not letting Washington off the hook. The fiscal picture is broken and we get into why.We wrap up with some of the wildest proposals circulating right now for how to fix the US debt problem — including one from self-proclaimed Bond King Jeffrey Gundlach that we're giving a hard pass. If you want the stuff that actually moves markets explained by people who used to sit on the desk, this is the episode.Subscribe to our Substack HERE: https://substack.com/@thewallstreetskinnyCheck out the Fixed Income Sales, Trading and Investing Premium Self Study HERE: https://thewallstreetskinny.com/fixed-income-sales-trading-investing/#fixed-income-sales
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Go to groundnews.com/skinny for a better way to stay informed. Subscribe through our link for 40% off unlimited access to world-wide coverage.
Go to www.groundnews.com/skinny for a better way to stay informed. Subscribe through our link for 40% off unlimited access to world-wide coverage.
Everyone in the financial media is telling you the same story: Scott Bessent's surprise Treasury buyback announcement is a thumb on the scale of the bond market, and it's making Kevin Warsh's job at the Fed harder. But what if the headlines have it exactly backwards? What if the Treasury Secretary is actually running interference for the one thing the Fed Chair can't do himself? Fresh off asking Bessent this question face-to-face at the Charlotte Economic Club, Jen breaks down why she thinks there's a stealth rate hike hiding inside what looks like yield suppression, and why the best way to understand it is a three-act magic trick straight out of The Prestige.