/biz/ - Business & Finance

Alright I got some graphs for you boys to tickle your weaponized schizophrenia. Consider pic rel.
The blue curve is the difference between the Feds Funds Rate and the 1 Month treasury yield. Pink is the FEDs Funds Rate. I've annotated some peaks with their corresponding events. I believe this difference between the baseline interest rate, and the baseline bond yield of the shortest maturity bond, gives a measure of the stability of the Treasury market, and by extension the global financial system. Think of it like a seismograph.

We see a brief spike in March 2020, right at the onset of Covid where the world shit its collective pants and the stock market dive bombed. The FED dropped rates in a vertical line and stability returned very quickly.

End of March 2022 the FED ceases its bond buying, this is the end of the money printer go brrrr period. The oscillations in Delta picked up almost immediately and their magnitude exceeds that of the 2020-03 perturbation, while steadily increasing.
Now look at the rate of change in Delta. We've swung 220 basis points in three weeks down to all time low of -0.73%. Compare this to 2008, the volatility today is comparable or greater than right after the Lehman bankruptcy.

If this is a seismograph of the treasury market then this shows the tectonic plates are starting to shake bigly. That behavior is exponentially divergent, we could blow through the 2008 peak swings within weeks.
>in b4 2 more weeks