The bond market with some subtle moves in quiet trading

<figure data-media-><img src="https://images.forexlive.com/images/US10Y_id_ef78c1a5-c091-4028-b11c-e266ba986555_size900.jpg" width="1272" height="710" wrapper-="wrapper-" data-src="https://images.forexlive.com/images/US10Y_id_ef78c1a5-c091-4028-b11c-e266ba986555_size900.jpg" /><figcaption><div>US Treasury 10-year yields (%) daily chart</div></figcaption></figure><p>While major currencies and equities are not showing any appetite whatsoever, we are seeing the bond market move a fair bit so far on the day. 10-year yields in the US are now up 6 bps to 4.476% as bonds are being offered as we get into European morning trade.</p><p>In the bigger picture, after the slide down from 5%, this isn't indicative of much. But keep in mind that the bounce in yields are coming after brushing against its 100-day moving average (red line) earlier this week.</p><p>I won't want to jump to any conclusions just yet, in calling this a return of the selling in bonds. I'd much rather wait for flows to pick up again next week as thinner trading conditions could still be a reason for the move we're seeing today.</p><p><br></p>

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