US 10-year notes dipped just below 3.10 again briefly today but they’ve once again bounced back. Slow US economic growth, European sovereign debt jitters and continued softness in equities and commodities are helping keep yileds historically low from a macro perspective.
The slight bounce (now just below 3.13%) is helping underpin USD/JPY, as has an afternoon euro rebound which has boosted EUR/JPY.
EUR/USD consolidates quietly at 1.4055; USD/JPY trades near its NY highs of 81.93.
