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Tuesday, January 13, 2026

Treasury Bears Beware: Explosive Short-Covering Rally Coming Up

Courtesy of Mish.

Zerohedge has an interesting post out today called Treasury Specs Are So Short, It Is Now A 4 Sigma Event. Let’s take a look at his charts and a couple of mine.

According to the latest breakdown of short positions by Deutsche Bank, speculators increased their net shorts by $7.7 billion in 10Y cash equivalents to $99.4 billion, a third successive week of record low positions.

Aggregate Treasury Spec Shorts

treasury-specs1

5-year Treasury Spec Shorts

treasury-specs6

10-year Treasury Spec Shorts

treasury-specs5

30-year Treasury Spec Shorts


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