<p>Traders are heavily buying U.S. Treasury bond options, betting that there will be a wave of bond rallies in the coming weeks, pulling the 10-year Treasury yield back to 4%, a level not reached since the end of November. The Chicago Mercantile Exchange reported on Monday that open interest data confirmed that investors have been buying a significant amount of a 10-year U.S. Treasury March options contract over the past week. The total premium paid for this position has been unusually large, around $80 million; open interest in the options contract surged to 171,153 contracts, a 300% increase in just one week</p>

<p>Traders are heavily buying U.S. Treasury bond options, betting that there will be a wave of bond rallies in the coming weeks, pulling the 10-year Treasury yield back to 4%, a level not reached since the end of November. Data on open interest released by the CME on Monday confirmed that in the past week, investors have been buying a significant amount of a 10-year U.S. Treasury March option contract. The total premium paid for this position so far is exceptionally large, around $80 million; open interest in the option contract surged to 171,153 contracts, a 300% increase in one week</p>

Traders bet heavily on U.S. Treasury options, wagering that the 10-year yield will fall back to 4% within weeks