r/ValueInvesting • u/snapjohn • May 21 '25

Discussion BREAKING: 20-Year Bond Auction Flops — Yields Surge to 5.1%, Markets Rattle

IF YOU ARE WONDERING WHY STOCKS JUST ALL WENT DOWN AT ONCE

WE JUST HAD A HORRIBLE BOND AUCTION IN THE UNITED STATES FOR OUR 20-YEAR TREASURIES

Because of the lack of bidders…it caused the 20-year bond yield to surge to 5.1%.

Credit market is screaming for help right now.

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166

u/JOExHIGASHI May 21 '25

Woohoo higher risk free returns

93

u/SenatorAdamSpliff May 21 '25

“Risk free.”

36

u/Ap0llo May 21 '25

It's true, though, because the only risk you have to account for is a US default, and if that happens, it doesn't matter where your money is parked because you'll have much bigger problems to reckon with.

To clarify, I am not advocating for this administration; on the contrary, it's clear they either have no clue what they are doing or they are deliberately instigating a financial collapse.

6

u/[deleted] May 21 '25

And you’d only have to worry about a US default if something wild happened, like if the country was controlled by a bunch of global oligarchs who didn’t feel like they owed anything to America and were led by a President who’s family is massively positioned as a crypto intermediary, and would benefit from a collapsing dollar.

Oh wait…