Fixed Income

Will stock ratio confirm US yield rally?

The recent rise of the US 10-year Treasury yield and the prospect of a sustained rally beyond 3% may lack conviction, according to Mike Sacchitello of Stone McCarthy Research Associates. The US financials/utilities ratio, historically a reliable indicator, has failed to support the rally.

30-year Bund: Reasons to get long

The 30 year yield of the German Bund is in overbought territory with the bigger picture suggesting still lower yields to come, says Chris Williams at Newedge. This view is further supported by the failure of the 30yr yield at the 2.527 level, and a continued weakness in stocks.