Market Extra: Hedge funds seen facing heavy losses amid wrong-way Treasury bets ahead of Fed tapering, traders say

Some hedge funds are likely to be facing substantial losses as the result of a steady narrowing in the differential between yields for long-dated U.S. government debt and shorter-dated ones, traders said.

Some hedge funds are likely to be facing substantial losses as the result of a steady narrowing in the differential between yields for long-dated U.S. government debt and shorter-dated ones, traders said.