IEF (intermediate UST) is up the most among fixed income ETFs YTD.

Bond ETFs are up year-to-date (YTD), with IEF (intermediate-term Treasury bonds) showing the strongest gains, followed by IEI (short-term Treasuries).

Short interest in Treasury bond ETFs has increased, with IEF up 110% and TLT (long-duration Treasuries) up 40%, indicating rising bearish sentiment in longer maturities.

Meanwhile, short interest in credit ETFs—JNK, PFF, HYG, and LQD—is down, reflecting bullish sentiment in credit markets and diminishing fears of a recession.

The yield curve has flattened this year, and positioning suggests intermediate-term yields may rise.

Bond ETFs are exhibiting a reversal strategy, where ETFs with the strongest price performance have seen the largest increases in short interest, while underperformers show lower short interest.

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