What happened in the US government bond market on the morning of October 15th? We have been hearing veteran bond traders say that they had never seen anything like it and that the bond market doesn’t work that way. Did the US Treasury market, arguably the most liquid market in the world, experience a Flash Crash (or actually a Flash Dash since prices rose and yields fell)? The NY Times wrote an excellent article yesterday chronicling the events of last Wednesday: “After the Treasury market opened, the yield on the 10-year Treasury, which moves in the opposite direction of its price, plunged far below the 2.2 percent ... (full story)