Markets have been whipsawed by trade headlines and generally weaker than expected US economic data this week, resulting in declines for bonds, stocks and the dollar. For the week US Treasury yields are up 3-5bps across a bear-steepening curve. It has been a wild ride, with the 10y plunging from nearly 1.86 to 1.70. on Tuesday on threats that the US would go ahead with the December 15 tariffs. At pixel time the 10y was trading at 1.81. It should be pointed out that 10y bund and Treasury yields are rangebound, each trading within a narrow 20bbps trading range as repeated breakouts to the upside and downside have failed.

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