The spread between short- and long-term bond yields has compressed, while oil prices have remained near $100 a barrel
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The “NACHO” trade has helped push Treasury yields higher recently, even though they declined this week.Photo: MarketWatch photo illustration/iStockphoto
Wall Street is glomming on to yet another acronym inspired in part by Mexican cuisine.
Roughly one year after the acronym “TACO” — which stands for “Trump always chickens out” — went from being a viral joke to a serious moneymaker, traders and strategists across Wall Street have started to toss around “NACHO,” or: “Not a chance Hormuz opens.” Nobel Prize-winning economist Paul Krugman referenced the acronym in a recent Substack post.