Hedge funds built a $1.2 trillion Treasury trade on money they have to keep borrowing

T2Covered by 1 source · first reported by The Defiant / DL News / Protos / CryptoSlate at 03 Oct, 18:40 UTC

Companies can own a mountain of US government debt without betting that bond prices will rise. Hedge funds buy Treasury securities and sell futures against them to collect a small pricing gap, borrowing most of the purchase money to make the return worthwhile. The government gets another buyer…