The November 2019 high of 1.973% is the gatekeeper for 2% US Treasury yields. A slip through that level could set off stops through the figure. I expect a big challenge of that level around Thursday's US CPI report but it could come sooner.
Today yields rose as high as 1.960% but we've seen seen a small pullback to 1.947%.
A break through 2% -- which almost seems inevitable -- is something with so many eyes on it that you worry it could end up being a non-event. What I'm more concerned with is the speed of a move further. If we quickly tick off 2.10% and 2.20% then it could get ugly in risk assets and spark a real bid in the US dollar, particularly against commodity currencies and EM currencies.
