[Verse 1] Picture every bond across the timeline From three months out to thirty years When parallel shifts strike the yield curve All rates climb or dive in synchronized tears Short term treasuries march with long bonds Moving lockstep through the interest maze Portfolio managers watch their holdings Dance together through these matching days [Chorus] Parallel shifts, parallel shifts Every maturity moves the same Up or down the ladder lifts Duration tells us who takes the blame Long bonds shake while short bonds drift Parallel shifts, parallel shifts [Verse 2] Mortgage rates and corporate paper Follow treasury's commanding lead When Fed signals flood the market Every sector plants the same seed Five percent becomes six percent Across the spectrum, no exception found Or falling tides drop all vessels Two percent when three was crowned [Chorus] Parallel shifts, parallel shifts Every maturity moves the same Up or down the ladder lifts Duration tells us who takes the blame Long bonds shake while short bonds drift Parallel shifts, parallel shifts [Bridge] Duration measures price sensitivity Longer bonds amplify the swing When rates jump up by fifty basis Thirty-year bonds feel the sting Portfolio convexity matters As yields shift in perfect rows Mathematical relationships Every bond manager knows [Verse 3] Risk management demands attention When parallel movements strike Hedging strategies protect positions From synchronized rate hikes Interest rate futures and swaps Mirror underlying treasury motion Institutional investors brace For yield curve's parallel devotion [Chorus] Parallel shifts, parallel shifts Every maturity moves the same Up or down the ladder lifts Duration tells us who takes the blame Long bonds shake while short bonds drift Parallel shifts, parallel shifts [Outro] Market forces synchronize Parallel shifts define the game
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