Minor support from the July low in 10-year Treasury yields gave way as the bond squeeze continues. Yields are down 3.5 basis points to 2.4095% today in an 11-month low.
Traders were dead wrong on tapering and bond shorts have been obliterated.
US 10-year yields
USD/JPY is beginning to feel the effects today as the pair slides down to 101.58 from 101.79. Yesterday European yields fell alongside Treasuries but today it’s more of a USA-only move (although Aussie yields are also tumbling today as bond buyers search for carry).
