Bond Curve - Long End where Fiscal Funding is FundedThe Dollar has very large Trendline support as well as the 50SMA.
The pressure this exerts can be extreme.
The rising trend indicates the potential for an extreme move
in the Rate of Change (ROC) once again.
The move will be very strong as 2 events are in play:
1. DX Hoarding
2. Net Drains @ FED and US Treasury
* Of Note, the future of stimulus was made clear this week as California
announced their intent to provide Universal Basic Income at a flat rate of
$1000/per person.
YCC remains active ahead of the September Federal Reserve Policy Statement.
Frankly, a non-event imho.
Since the end of March 2021, the 10Yr has dropped from 1.74.
The question being asked - What is the Bond Market indicating?
Answer - the FED smacked their noses for attempting to call them out on their
endless BS.
