US Treasury Market Experiences Historic Losses in 250 Years

US Treasury bonds are on track to experience their longest stretch of losses since 1787, with the 10-year bond set to suffer its third consecutive annual loss. The decline in bond prices has been driven by aggressive interest rate hikes from the Federal Reserve, with the effective fed funds rate rising from nearly 0% to over 5% since March 2022. Despite the poor performance, investors continue to pour money into bonds, with $1.7 billion flowing in this week, marking the 23rd consecutive week of inflows.