The reflex of investors in times of crashing markets is to dump risky assets and buy safer assets. Equities are way riskier than 10 year government bonds. So that is the first part. Lots of investors dumped their equities and bought "safe" government bonds. You can also see the same dynamic if you look at short term treasuries like the 3 month bond price. When equity markets are at all time highs and everyone is happy, nobody gives a shit about 3 month treasuries so their price goes into the toilet and their yields are higher. Look at it in 2008 for instance. As soon as the market crashes the price pops and the yields go down.
Now after Feb 2020 the 10 year stayed at around 140 because the FED bought shit loads of treasuries to the effect of trillions in order to keep the prices up and the yields down.
Out of curiosity, why did the prices spike in Feb 2020?
The reflex of investors in times of crashing markets is to dump risky assets and buy safer assets. Equities are way riskier than 10 year government bonds. So that is the first part. Lots of investors dumped their equities and bought "safe" government bonds. You can also see the same dynamic if you look at short term treasuries like the 3 month bond price. When equity markets are at all time highs and everyone is happy, nobody gives a shit about 3 month treasuries so their price goes into the toilet and their yields are higher. Look at it in 2008 for instance. As soon as the market crashes the price pops and the yields go down.
Now after Feb 2020 the 10 year stayed at around 140 because the FED bought shit loads of treasuries to the effect of trillions in order to keep the prices up and the yields down.
Ah ok. Makes sense. Thanks for your explanation!