US 10-Year, 30-Year Yields Hit Decade Highs, Shaking 5 Treasury ETFs
Portfolio Pulse from Piero Cingari
The Federal Reserve's commitment to maintaining higher interest rates has led to a surge in yields across all maturity periods, impacting long-term Treasury yields and shaking five Treasury ETFs. The iShares 20+ Year Treasury Bond ETF (TLT), SPDR Portfolio Long-Term Treasury ETF (SPTL), Vanguard Long-Term Treasury ETF (VGLT), iShares 7-10 Year Treasury Bond ETF (IEF), and iShares 10-20 Year Treasury Bond ETF (TLH) all experienced declines.
September 25, 2023 | 5:14 pm
News sentiment analysis
Sort by:
Ascending
NEGATIVE IMPACT
The iShares 7-10 Year Treasury Bond ETF (IEF) fell by 0.5%, reaching levels last seen in April 2011.
The surge in yields due to the Fed's policy has led to a decline in the value of the IEF ETF. As yields rise, bond prices fall, negatively impacting the ETF.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100
NEGATIVE IMPACT
The SPDR Portfolio Long-Term Treasury ETF (SPTL) experienced a decline due to the surge in yields.
The surge in yields due to the Fed's policy has led to a decline in the value of the SPTL ETF. As yields rise, bond prices fall, negatively impacting the ETF.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100
NEGATIVE IMPACT
The iShares 10-20 Year Treasury Bond ETF (TLH) was down 1.6% on Monday and by a whopping 44% since March 2020.
The surge in yields due to the Fed's policy has led to a significant decline in the value of the TLH ETF. As yields rise, bond prices fall, negatively impacting the ETF.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100
NEGATIVE IMPACT
The iShares 20+ Year Treasury Bond ETF (TLT) experienced a 1.9% decline, reaching its lowest level in over a decade.
The surge in yields due to the Fed's policy has led to a decline in the value of the TLT ETF. As yields rise, bond prices fall, negatively impacting the ETF.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100
NEGATIVE IMPACT
The Vanguard Long-Term Treasury ETF (VGLT) hit its lowest level since inception due to the surge in yields.
The surge in yields due to the Fed's policy has led to a decline in the value of the VGLT ETF. As yields rise, bond prices fall, negatively impacting the ETF.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100