US 10-year notes have backed up in yield to the 3.65% level from 3.58% on Friday. They are at their highest levels since mid-August. Technically, 3.72% and 3.86% are topside targets.
The yield-sensitive USD/JPY is supported by the surge in rates, now at 90.95 after trading as high at 91.01. EUR/USD is at 1.4317.
Spreads over German bunds are at their widest Since July 2007.
