While the A1 EdgeFinder can aid traders and investors by compiling analysis for currency pairs and stock market indices, it also offers great insight into bond markets as well. This can be helpful to remember considering that US Treasuries, debt securities backed by the US government, often become more enticing for buyers as interest rates rise. This is because Treasury prices fall, and yield rates rise, in conjunction with increases in the Federal Funds Rate; for example, the yield on the 10 Year Treasury Note has risen from about 1.5% to over 3.8% since the beginning of 2022. With the Federal Reserve continuing their aggressive rate hike campaign of historic proportions, and the EdgeFinder issuing bullish signals for certain government bonds, it is worth asking: is it time to buy Treasuries?
10 Year Treasuries or 'T-Notes' are reviewed particularly favorably for traders and investors by the EdgeFinder. They are listed below with their respective rating, signal/bias, and corresponding EdgeFinder breakdown chart. The ten years number within their name refers to their maturation period, one decade over which fixed interest will be paid to the owner; for more information, read here.
US10Y - Earns a 4, or ‘Buy’ Signal