Why JonesTrading's O'Rourke Thinks Shorting Bonds Is the Trade of the Year

The video discusses the impact of a large supply of US Treasury auctions on the market, focusing on the 10-year yield's significant rise since 2013. It explores the yield curve, particularly the 2:10 spread, and the potential for a steepening curve in 2018. The discussion includes the implications of government debt issuance and projections for the two-year yield reaching 3% with expected rate hikes. The video also covers trading strategies related to treasury futures, emphasizing a short position due to anticipated rising yields.

What was the significant move in the 10-year yield mentioned in the text?

Discuss the significance of the 2:10 spread in the context of the text.

How does the flattening of the yield curve relate to the current market situation?

What implications does the expected rate hike by the Federal Reserve have on other asset classes?

What are the expected trends for Treasury futures based on the current market analysis?