For the first time since March, the call option premium for US Treasury bond options has changed to be more expensive; one-way capital flows on Thursday showed that the market is buying multiple call option structures, indicating that bond traders are paying higher hedging costs for a possible larger increase in the long-term yield curve rather than betting on a sell-off.

For the first time since March, the call option premium for US Treasury bond options has changed to be more expensive; one-way capital flows on Thursday showed that the market is buying multiple call option structures, indicating that bond traders are paying higher hedging costs for a possible larger increase in the long-term yield curve rather than betting on a sell-off.