10-year note auction so-so

At a price, you can sell anything. The US Treasury had to pay 3.99% to sell $19 mln of 10-year notes.

So far the dollar is holding up, perhaps supported by the higher yields. EUR/USD has fallen in to the 1.3960s after the auction.

Update: Stocks have headed lower on the higher yield backdrop, helping give the dollar a boost as risk aversion rebounds. The S&P is now down 1%.