US Bond Market Liquidity Collapses: “It’s Worse Than Brexit”

• US Bond Market Liquidity Collapses: “It’s Worse Than Brexit”
  by Tyler Durden, www.zerohedge.com 
  Two weeks ago we warned of the “unintended consequences” of Dodd-Frank which are likely to crush bond market liquidity. On the day of Brexit we got a glimpse of what can happen when the world’s most liquid bond market suddenly isn’t and as one veteran bond trader exclaimed today, US Treasury market liquidity is “worse than Brexit.”
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  Following the worst two-week loss for bonds… ever…
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  The bond-market rout triggered by Donald Trump’s election victory has also crimped investors’ ability to trade, according to a Bloomberg index measuring how much U.S. government-bond yields are deviating on average from a fair-value model. By that measure, the deterioration of liquidity in Treasuries has been the most severe since the U.K.’s June vote to exit the European Union…
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