10-year Treasury yield is flirting with the 5.0% handle once again... The last time it was trading at this level, the US administration panicked. The entire world is now watching the world's largest bond market. https://x.com/GlobalMktObserv/status/1922732398195683334
..the US 10yr yield has gone a little higher than this to 4.54pc. US 10yr yield has risen 6.42pc....no wonder this is not helping Gold which has sunk to $3,177.
Another day, another move higher in yields: The last time yields were this high, President Trump paused tariffs for 90-days. Now, trade deals have been reached and yields still won’t fall. What will Trump do now? https://x.com/KobeissiLetter/status/1922716080373412346
Why are US yields moving higher after the US-China temporary truce?
> Concerns over recession have waned
> But concerns over inflation have not despite lower than expected CPI as trade negotiations protract
> Concerns over Trump 2.0 seeming failure to address US deficits issue with tax cuts bill in progress
> A shortage of dollars forcing market participants to sell their US Treasuries?
> A liquidity plumbing issue within the US financial system?
Normally as rates go higher, the equities market should contract. But it has not.
I see currency market being volatile despite a lack of volatility in the equities market. Our AUD hit 65c yesterday, but overnight it has sunk to 64.3c.
Breadth is negative. This is now a Tech only rally. Nvidia has now completed the right shoulder. Momentum (MACD) has returned to the left shoulder high from last July. https://x.com/SuburbanDrone/status/1922667296520061009
