The 10-year Treasury yield hit its highest level since November 2023. Retail traders immediately checked their portfolios to see if they should care. They should not.
This is the financial equivalent of someone telling you the temperature in a city you'll never visit. The number went up. Congratulations to the number. It exists in a range it has occupied dozens of times before. Breathtaking.
Inflation concerns and debt worries pressured borrowing costs, according to people who need to explain why lines move. The line moved because someone sold and someone bought at a different price than yesterday. That's it. The rest is a bedtime story for adults who wear vests to work.
Somewhere right now a guy named Derek is reading this headline on his phone during his lunch break at Enterprise Rent-A-Car. He's wondering if he should sell his three shares of a bond ETF he bought because a podcast told him to. Derek will spend forty-five minutes researching. He will read six articles. He will understand none of them. He will sell at a loss and buy back in at a higher price within two weeks.
The chart looks different if you zoom out. It also looks different if you zoom in. It looks different on a log scale. It looks different if you turn your monitor upside down and squint. None of these perspectives will help you.
Technical analysts will now draw seventeen lines on a chart and explain why this level matters. It matters because they drew lines on it. The lines predicted nothing. They never do. But they look professional in a screenshot, and that's the point.
November 2023 was not that long ago. We're talking about a twenty-seven-month high here. Your car insurance has gone up more in percentage terms since then, and you didn't write a think piece about it.
Photo by Cesar Done on Unsplash
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