Wednesday, August 19, 2026
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Traders Alert for Deeper Bond Rout Fueling Niche Arbitrage Trade

An extended selloff in the $31 trillion US government bond market is opening the door for a potentially lucrative trade that profits from pricing shifts between derivatives and their underlying cash bonds.

This article was originally published by Bloomberg Markets and is republished here under license.

An extended selloff in the $31 trillion US government bond market is opening the door for a potentially lucrative trade that profits from pricing shifts between derivatives and their underlying cash bonds.

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