US bond yields are rising this morning as the Street sells bonds to make room for a flood of issuance this wek. The auctions kickoff with $38 bln in two-year notes early this afternoon. 10 year yields are up to 2.17% from about 2.08% late last week while bund yields (German government bonds) reached record low yields below 3% today.
Narrower interest rate diffenerntials and selling at the 16:00 GMT fixing are combining to weigh on EUR/USD. It trades now at 1.2325 after stalling at 1.4000 again a short while ago.
