Bond Traders Bet the Worst Is Over

Some options traders are betting that the long U.S. Treasury bond sell-off is finally ending. Their confidence grew after a strong 10-year note auction on Wednesday. Traders call this a "bullet bid" — meaning buyers rushed in and demand was unusually strong. That is a big change. Treasury prices have fallen for months, pushing yields higher. Calling a bottom in that slide might seem crazy. But a handful of options traders now look increasingly willing to try.