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The bond market is sniffing out trouble

The bond market is sniffing out trouble

Today's bond market moves are curiously large, with US 10-year yields down 15 bps to 3.54%. That's at the same time as stock markets have moved sideways

The 'normal' view of today's market is that a few factors have come together:

  • Powell's dovish shift leading to conviction that 6-7% Fed funds are off the table, with the terminal top around 5%
  • The turn of the month
  • A bit of a dollar-bonds spiral
  • The ISM report lending conviction to hard landing theori... Read More
Posted: Dec 1 2022, 18:20
Author Name: forexlive
Views: 092053

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