Investors are moving away from long-term bonds. Treasury Bill ETFs have attracted +$51 billion in inflows since February 27th, the most among all fixed-income categories. Over the same period, ETFs tracking long-term bonds have attracted just +$7 billion. This is despite long-term bonds offering a higher ~4.7% indicated yield versus the ~3.7% for Treasury Bill ETFs. However, long-term bonds can lose significant value when yields rise, while Treasury Bills are much less sensitive to changes in yields. This risk has become increasingly important, with the 30Y Treasury yield rising +70 basis points since February 27th, now at 2007 levels. Investors are choosing lower yields in exchange for lower risk.(The Kobeissi Letter)