What JUST Happened in Bonds | Stock Market Crash [Update]

hey everyone kevin here okay so the

treasury bond auction just happened on

the 10-year

big old 38 billion dollar treasury bond

auction

and folks there was a lot of nervousness

because the last really really big

auction that we had what we did have one

yesterday

was totally fine but the last really

really big auction that we had before

that was a complete disaster

and the complete disaster and lack of

buyers for treasury bonds led treasury

yields to

skyrocket like almost instantly uh

over 1.5 percent at one point over 1.6

it was crazy that's why it's one of the

reasons we had this big

sell-off in the stock market over the

last three weeks here uh and so

today we had another very very large uh

treasury auction in the 10-year bond

market

so what's really important is that the

10-year

has enough buyers that enough people

show up to the auction and buy it and if

enough people show up and buy

then the yield stays down

and uh in the private course member live

stream we've been watching

the yield evolve here we've been

watching what's been going on here i'll

uh i'll flip the screen here and i'll

kind of

i'll try to show you here uh let's see

things things are a little

there's a lot going on here okay but

take a look at this okay

so right here uh this is the spike that

happened

right as the auction occurred uh right

here

or as the auction results posted and

we've been trending down

all day and uh we're kind of

sticking around 1.51 percent and now

basically

what this means is the market's not

going to crash off bond yields right now

this auction was benign interest rates

are

stable inflation like runaway inflation

expectations

aren't here uh now keep in mind the

inflation cpi data that we got this

morning

obviously doesn't account for all forms

of inflation uh but

uh you know if there was going to be

massive runaway inflation the cpi data

would have come in a little worse

now we've got this big stimulus package

that's right now

getting voted on or about to be voted on

at the time of this filming

uh obviously there are expectations that

all this money printing is going to lead

to more inflation

i think most of you know my opinion uh i

i that

you know i'm leaning towards like 70 80

chance we don't see

long-term permanent inflation but we'll

have these short-term spikes especially

over the next three months while these

spikes of inflation

but right now stocks are acting a little

tentative around this auction

stocks aren't necessarily taking off in

celebration of this

things are pretty stable right now

unless you want to start talking about

gamestop and amc but we can have a whole

video

dedicated to that so i i would say if i

had to sum up what happened here with

bond yields i would say

good news we had a good bond auction

things are stable

inflation isn't showing signs of massive

problems which is leading to

people buying these bonds leading to

more stability in the market

uh so bottom line i'm buying tesla just

sold off a little bit intraday i bought

some more shares

uh actually i bought uh probably around

150 000

of stocks in the private course member

live stream i posted all my

notifications

and uh exactly what i bought my

execution prices and everything

uh just within the last 30 minutes here

right before the bond auction

and uh things have been relatively

stable since then

we didn't uh we didn't see stock share

prices skyrocket

but we also didn't see them plummet

because the yields stayed stable and

that's good

so let's uh it's to me i would say this

is a good sign

that we kind of have what i like to call

permission to continue the rally

we didn't get the bad news that could

have happened today

and so let's hope the rally continues

now as much as i want to keep buying the

dip which is one of the reasons i just

bought i don't know that we're going to

see those low lows that we saw from the

panic last week

when we still had ahead of us these

auctions

those auctions are now behind us and

it's going to be another month before we

get inflation data right

and it's going to be a little bit before

we get some more auctions again and so

right now i think things

can be stable take a little breather go

shopping for some good opportunities in

my opinion some good opportunities

cciv neo palantir pins frx ghvi

snow tesla and redfin

so they're all still relatively

inexpensive compared to some of the

other options out there

well there you go hopefully this was

helpful for you on the bond auction what

the heck went down

we'll see in the next video always

remember take advantage of that coupon

code a link down below it does expire in

five days thanks so much for being here

we'll see you next time

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