The bond market continues to act up ahead of the Fed minutes release
The broader market may be more sanguine so far on the session but the bond market continues to send an ominous signal as 10-year yields fall to 1.333% - the lowest since 24 February - as the bid in Treasuries continues today.
This poses so many questions surrounding the inflation outlook and how the market is viewing the Fed's policy stance in the months ahead, and for the most part, it contradicts with everything that the market has stood for over the past month or so.
There comes a point where the supposed correction or short squeeze just isn't what it should be and as the technical levels crumble, it is tough to ignore the chart.
Something has got to give here in the market and if the old adage stands true, that is the bond market is always right, then that is real trouble for the rest of the market.
