The early shine is off the stock market — the S&P 500 is down 2 points to 1416 after hitting a four-year high of 1426.
10-year Treasuries also failed at 1.87% for the third consecutive session.
As a result, USD/JPY has fallen and is now with a few pips of the 79.26 low. Some small intraday stops are likely below while bids lurk at 79.00/10.
Credit Suisse is out with a bearish note on the pair saying T-note yields don’t have much more room to run and global equity markets are now more vulnerable to the downside.
