TREE NEWS reports: Options traders are piling into bullish bets on long-dated Treasuries and rate-sensitive utilities, with call volume on the iShares 20+ Year Treasury Bond ETF (TLT) and the State Street Utilities Select Sector SPDR ETF rising sharply. The 10-year Treasury yield stands at 5.335% and the 30-year at 5.713%, both multi-decade highs. TLT fell 0.2% Wednesday, extending its 2026 total-return loss to about 8.4%. Interactive Brokers’ Steve Sosnick said the call activity signals some traders are positioning for long-term rates to fall.
Traders Bet on Long-End Treasury Rebound via TLT and Utility ETF Calls
AI take
The interesting tension here is that positioning is turning bullish on duration precisely as yields sit at multi-decade highs, which suggests some traders are treating the selloff as stretched rather than structural. Utilities calls reinforce that read, since the sector is a pure rates proxy and would benefit most if long-end yields rolled over. What matters is whether this remains a contrarian options trade or broadens into spot demand; TLT's continued total-return losses show the cash market has not yet followed.
Generated by AI for reference only.
Share on WeChat
Open WeChat → Scan → then tap "…" to send to a chat or Moments.
Tap "…" in the top-right corner to send to a chat or share to Moments.
Related News
3m ago
Dalio Says Global Bond Selloff Has Further to Run
4m ago
Philadelphia Semiconductor Index Falls Over 2%
6m ago
KPMG: China’s 150 Securities Firms Post 31% Revenue Growth in H1 2026
7m ago
Dalio Warns Stock Market’s Cushion Against Rising Bond Yields Is Shrinking
13m ago
Chen Jianxin Named Head of PBOC Credit Information Bureau
14m ago
CATL Overtakes LG Energy Solution in Decade Battery Patents