This was co-authored by CFRA Research and Flow Traders, a global liquidity provider specializing in ETFs.
TLT saw a surge in trading volume and net inflows in 2023. Institutional investors used TLT to “buy the dip” in long-dated treasuries, but timing this trade correctly proved to be difficult. A historical review of CME’s FedWatch indicator highlights the complexity of forecasting the Federal Reserve’s rate hikes and the difficulty of timing investments in TLT.