Front-end Treasurys may open at negative yields, BMO strategist says

It’s possible “we will see some Treasurys trade at negative yields in the front-end when markets reopen,” BMO strategist Jon Hill tells Bloomberg.

The Federal Reserve today cut its Fed Funds rate by 100 bps to 0.0%-0.25% and launched a new $700B QE program.

“Pretty quickly the conversation will turn to what more the Fed can do,” Hill says, adding that the Fed “has now fired the vast majority of their bullets.”

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https://seekingalpha.com/news/3551842-front-end-treasurys-may-open-negative-yields-bmo-strategist-says