fxstreet.com 17 Feb, 2021 06:00 am

Creeping bond yields unnerve markets

Creeping bond yields unnerve markets
Government bond yields crept higher overnight, notably in the United States where the US 10-year rose above 1.30%, and the 30-year consolidated above

That was despite the price action in yields being a repeat of much of last week.The price action looks corrective and not a turn in markets underlying trends.The price action looks more like a correction to the cyclical rotation seen last week then a bond market move.Again, the price action looks corrective rather than a structural change in trend.

With China on holiday until tomorrow, Asian currencies have given ground modestly overnight and this morning, although the price action looks corrective again.Overall, today's picture looks corrective after a strong run higher by regional equities in recent sessions, especially when Friday's move higher in US yields was ignored entirely by markets.

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