Citi Strategist: US Treasury Short Positions Surge as Yields Climb

The strategist's own framing — extreme from a tactical standpoint — is the tell: this is a note about positioning crowding, not about the direction of yields. Crowded shorts matter because they can amplify moves in either direction, and the unwind itself becomes a market event rather than a quiet repricing. Whether the positioning is cleared by a further yield move or by a squeeze is the open question, and it is the kind of setup that tends to spill into broader risk appetite, including crypto and other rate-sensitive assets.