Illya Gerasymchuk
Entrepreneur / Engineer
thus, you interpret yield spreads between US Treasuries and riskier bonds as:
📈 increasing/high yield spread = risk-off
📉 lowering/low yield spread = risk-on
a lower yield spread means that the market requires less return per unit of risk
lower yield spreads means that US Treasuries have a small premium over riskier bonds, thus the market is attributing a smaller premium to safe assets - a "risk-on" signal