The Bond Investing Podcast with Fexingo: Treasuries, Corporate Bonds, and Fixed Income Strategy

In a steepening yield curve environment, the 5-year Treasury note has emerged as a powerful hedging tool. Lucas and Luna break down why the 5-year offers a unique combination of duration and convexity, how it has outperformed other maturities in recent weeks, and how investors can use it to balance portfolio risk. They reference the latest yield data, including the 5-year yield at 4.13 percent and...

Lucas and Luna examine the surprising outperformance of the 5-year Treasury note in late June 2026, when the yield on the 5-year note dropped 3.7% over five days to 4.13%, outpacing the 10-year and 30-year. They explain why this maturity is acting as a convexity hedge, how the 3-month yield compression is driving demand, and what it means for investors building bond ladders. Using the latest yield...

Lucas and Luna break down the latest steepening of the 3-10 year Treasury curve, where the 3-year yield has risen to 3.84 percent while the 10-year sits at 4.40 percent, creating a fifty-one basis point gap. They explore how this shift, driven by the Fed's hawkish stance and resilient economic data, is reshaping duration positioning for bond investors. The hosts discuss practical implications for...

The yield curve is steepening again. On June 25 2026 the 2-year Treasury yield fell to 4.09 while the 10-year held at 4.40 widening the spread to 31 basis points. In this episode Lucas and Luna unpack what a steeper 2s10s spread means for bond investors right now. They look at the mechanics of curve steepening how it differs from the inverted curve of 2023 and 2024 and why it matters for ladder st...

Lucas and Luna dig into the surprising collapse of corporate bond market depth in mid-2026. With the 10-year Treasury yield hovering at 4.40 percent and the Fed holding rates steady at 3.63 percent, bid-ask spreads on investment-grade bonds have widened to levels not seen since the early-pandemic days. Lucas explains how the bond dealer retreat—triggered by tighter post-SEC rules and a rapid shift...

With the 10-year Treasury yield at 4.41% and breakeven inflation hovering near 2.3%, inflation-protected bonds are quietly outperforming their nominal counterparts. In this episode, Lucas and Luna break down why TIPS are winning in 2026, how the breakeven rate works, and what the 4.86% 30-year yield means for duration risk. They discuss real yields, the TIPS ETF TIP, and why the Fed's 'higher for...

Lucas and Luna unpack why floating rate notes are outperforming fixed-coupon bonds as the yield curve steepens in mid-2026. With the 2-year yield at 4.11 and the 10-year at 4.41—spread now 31 basis points—FRNs offer built-in protection against rising short-term rates. They walk through how a $100 million pension fund recently swapped 20% of its core bond allocation into FRN ETFs like FLOT and PULS...

Lucas and Luna unpack a counterintuitive bond market reality: bond ETFs often trade at premiums or discounts to their net asset value, and those pricing gaps can be a source of alpha for active investors. On June 25, 2026, with the 10-year yield at 4.50 and the 2-year at 4.16, they examine how the iShares iBoxx $ Investment Grade Corporate Bond ETF (LQD) and the Vanguard Total Bond Market ETF (BND...

Today's Fed stress test results show the largest US banks can absorb $708 billion in losses while maintaining capital. Lucas and Luna break down what this means for bond investors — specifically how the 'stress capital buffer' mechanism affects bank demand for Treasuries, MBS, and corporate bonds. They examine the day's data: the 10-year yield at 4.50, the 2-year at 4.16, and the steepening curve....

In this episode of The Bond Investing Podcast, Lucas and Luna explore a surprising trend in fixed income: short-term bond ETFs are beating cash-like returns even as the Fed holds rates steady. They break down why the iShares 1-3 Year Treasury Bond ETF (SHY) has lagged while ultra-short duration funds like SGOV are offering yields above 4.5%, and how the 3-month T-bill yield at 3.85% is reshaping t...

In this episode of The Bond Investing Podcast with Fexingo, Lucas and Luna dive into the growing appeal of municipal bond ETFs in mid-2026. With the 10-year Treasury yield at 4.51% and the 30-year at 4.95%, tax-free muni income is becoming a serious alternative for investors in high-tax states. The hosts break down how muni ETF flows hit a record $12 billion in May 2026, why California and New Yor...

Lucas and Luna explore why the 30-year Treasury yield holding at 4.90 percent is changing how bond investors approach duration, liability-driven investing, and the steepness of the curve. They look at what this means for pension funds, insurance companies, and retail bond ladder strategies. The 10-year is at 4.46, the 30-year at 4.90 — a spread of 44 basis points that hasn't been this wide in year...

In this episode of The Bond Investing Podcast, Lucas and Luna break down why the 2-year Treasury yield's recent jump to 4.19% is reshaping bond ladder strategy, especially as the 10-year yield holds at 4.46%. They discuss how the narrowing 10Y-2Y spread to 27 basis points signals a steeper curve and what that means for reinvestment risk, bullet versus ladder approaches, and duration positioning. T...

On Episode 66 of The Bond Investing Podcast, Lucas and Luna explore why the 10-year Treasury yield hovering around 4.45 percent might be the new baseline, not a temporary spike. They discuss how the Fed's regime change under Kevin Warsh, combined with sticky inflation and geopolitical uncertainty from Iran peace talks, is anchoring long-term rates higher. The hosts analyze the implications for bon...

In this episode of The Bond Investing Podcast with Fexingo, Lucas and Luna explain why the 3-month Treasury yield is becoming the most important rate on the curve. With the 3-month yield at 3.83% and rising, while the 10-year sits at 4.49%, the short end is sending a powerful signal about Fed policy and liquidity. They break down how this 'belly-up' dynamic is reshaping everything from money marke...

Lucas and Luna dig into the surprising resurgence of mortgage-backed securities trading, which has jumped 40 percent in volume year-over-year as banks and hedge funds pile back into agency MBS. They explain why spreads have tightened to 95 basis points over Treasuries, how the Fed's tapering of run-off has breathed new life into the market, and what this means for bond investors who still remember...

In this episode of The Bond Investing Podcast, Lucas and Luna dig into why the 30-year Treasury yield is hovering at 4.90 percent — nearly 45 basis points above the 10-year — and what that steep long end means for pension funds, insurance companies, and individual investors building bond ladders. They discuss how the 30-year's premium over shorter maturities is creating a 'steepener' trade that ha...

Episode 62 of The Bond Investing Podcast dives into a quiet but significant shift: the steepening of the yield curve from the short end. Lucas and Luna break down how the 3-month Treasury yield has risen to 3.83%, widening the spread against the 2-year and 10-year yields. They explore what this means for money market funds, bank liquidity, and the Fed's rate path under Chair Warsh. Using live data...

In this episode of The Bond Investing Podcast, Lucas and Luna dive into how the market is repricing for a more hawkish Fed under Kevin Warsh than many expected. With the 10-year yield at 4.49, the 2-year at 4.20, and the spread now at 27 basis points, they explore what a 'higher for longer' regime means for bond ladder construction, duration positioning, and whether the yield curve can steepen fur...

With the 2-year Treasury yield at 4.20 and the Fed holding rates at 3.63, bond ladder strategies are shifting. Lucas and Luna break down why the front end of the curve is more attractive than longer maturities, how to structure a ladder for 2026, and why active management of rungs matters more now than in the ZIRP era. They reference the current yield curve, the Fed's stance under Chairman Warsh,...

The Fed funds rate has been stuck at 3.63 percent since May 2026, and the yield curve is finally positive after two years of inversion. Lucas and Luna explore how this plateau affects bond ladder construction — from the 2-year note at 4.20 to the 30-year bond at 4.93. They walk through a concrete example: building a five-rung ladder that captures the 10-year yield at 4.49 while maintaining liquidi...

Episode 58 of The Bond Investing Podcast digs into the most consequential Fed statement rewrite in years. Chairman Warsh pared down the June 2026 FOMC statement, removing the cutting bias and signaling a higher-for-longer regime. Lucas and Luna break down what actually changed — the deleted forward guidance, the new language on inflation risks, and the hawkish abstention from rate forecasts. They...

The June 17, 2026 Fed decision saw Chairman Warsh dramatically rewrite the rate statement, stripping out any cutting bias and signaling a potential hike later this year. Lucas and Luna break down what this means for bond investors: how the 2-year yield is reacting, why the 10-year is stuck at 4.43, and whether the new FOMC language shifts the odds for a 2026 rate increase. They also discuss what J...

Episode 56 of The Bond Investing Podcast dives into the mechanics of bond ETF arbitrage and how it impacts investor returns in 2026. Lucas and Luna explore the growing gap between ETF prices and their underlying net asset values, using real data from the 10-year yield at 4.43%, the LQD ETF at 109.12, and the recent surge in ETF trading volumes. They discuss how authorized participants keep prices...

In Episode 55 of The Bond Investing Podcast, Lucas and Luna examine a quiet but powerful trend in fixed income: credit spreads are compressing as the Federal Reserve signals a dovish stance. They anchor the discussion on the Bloomberg US Corporate Bond Index, where the option-adjusted spread has tightened to 95 basis points — a level not seen since 2021. Lucas explains how the Fed's pivot, with th...