If it comes to pass, that would be a major shift from the near 10% deficits of today.
The commission’s report is a secondary concern at the moment as a poor US bond auction is prompting the market to sell dollars after a brief flurry to the topside in yields.
Every time the US has a hiccup the Chicken Little’s predict doom for the US bond market. Today will be no different.
But bear in mind the Fed has not even begun to buy its $600 bln in notes…
Heavy short-covering has kicked in above the 1.3750 level after the auction as the market fears the US will never sell another bond…
Hourly trend resistance comes in at the absolutely critical 1.3825 level, the stall point for rallies earlier today.
