For US Treasury troubles, treat the cause not the symptom

Regulatory alarm about hidden risk in the Treasury futures market misses the point, fund association execs write

Financial regulators in the US have recently expressed worries over the growing use of Treasury futures by registered funds, particularly an increase in long positions over the past three years. These futures positions, they say, may be causing vulnerabilities in the US rates market and are therefore a potential source of financial stability risk – which may need to be addressed. Some regulators