Bond bulls make a bit of a stand for now

<p>10-year yields in the US clipped the 4.30% mark yesterday but are pushing back lower by nearly 6 bps to 4.249% currently. The former is a key line in the sand for the bond market at the moment and so far, the bulls are making a bit of a stand. But against the narrative that have driven yields up by 30 bps in since last week alone, are they able to meaningfully turn the tide? That remains to be seen.</p><p>But if bond bears were ever looking to reconsider their position, there would be no better place.</p><p>I'd keep a close watch here as a break higher is still going to cause plenty of angst and pain across broader markets. But at least for now, there can be some sigh of relief.</p><p>The dollar has come off the boil as such, especially more so in USD/JPY which is down another 0.3% today to 145.40 at the moment.</p>

This article was written by Justin Low at www.forexlive.com.