What’s Gotten Into Treasury ETFs?

As U.S. stocks continue to reflect pervasive uneasiness about the prospects for a robust recovery, investors are flocking towards low-risk securities with impressive pace. Recent weeks have seen investors shed their appetite for risk, fleeing equity markets and piling into the relative safety of U.S. Treasury bonds. That has pushed many key rates to record lows, causing investors to take a closer look at bond markets. Despite record debt on Washington’s balance sheet and growing concern over the ability to make good on those obligations, investors have bought the Treasury bills with a fervor unmatched in recent times. After hitting their 52 week high with a yield of 4.01% in early April, 10-year bonds have watched their prices soar and yields tumble all the way down to below 3%; a decline in the yield of more than 25%. Meanwhile, two year bonds are yielding below 0.6%, right around the all-time low [...] Click here to read the original article on ETFdb.com. Related Stories: PIMCO Rounds Out Treasury ETFs With ZROZ, FIVZ ProShares Launches Ultra Treasury ETFs (UBT, UST) PIMCO To Launch New Treasury ETFs