The chart patterns indicated that the US2Y yield is going to break and stay below 1.500. The implications are that the spread (or difference) between US10Y minus US2Y is getting smaller. This, in turn, is suggesting reversion or a correction in US Indices towards the mean You can see the initial chart pattern A, which led to the corresponding drop to point 1,...
US2Y - FedFunds comes down to zero coincides with fed funds pausing, which is bullish for S&P
The correlation between the 2Y & gold indicates that when the US2Y peaks, there is a US recession & gold rallies to new highs subsequently after. ** 1 = Peak in US2Y ( 1989 ) did not see a rally in gold because gold was depegged from the USD in the mid 1970's. 2 = Peak in US2Y ( 2000 ) saw a massive rally in gold as investors look for a safe haven from the...
US 2 Year Yield seems to have confirmed a reversal on the weekly which in turn seems to have given stocks and crypto some cause to rally. Too early to say yet if it will be sustained. Lets see if we get a continuation.
All goes down to CPI readings this Thursday but purely from a technical perspective, US2Y and US10Y are expected to cool down in the next few weeks from their current trading ranges that could go up to 1.4% and 2.1% respectively. If invalidated and they go higher into the coming week, expect more volatility and suffering for the stock market. US2Y US10Y
Curve Steepening is alive and well as the basis point difference between the US 10-year bonds and the US 2-year bonds reaches its highest level since 2017. This largely due to the Fed purchasing of shorter term bonds every month as part of its QE program to support the economy. Expect this trend to continue as the Fed maintains its support and refrains from...
For the same reason, I think the US30YT and the US2YT can be inverted at this level by -0.25% and no more can be done because of the high recession level incoming. In next weeks this will happen, this summer in my point on view
US GOVERNMENT BONDS 10 YR US2Y Sincereley L.E.D 9/04/2022
US GOVERNMENT BONDS 10 YR US2Y Sincereley L.E.D 8/04/2022
US10Y-US2Y idea all clear in the chart ================================= the end
The term unprecedented isn't used often enough. This won't end well.
With the 2YR printing a M1 SFP we can expect a sharp reversal on yields shortly - this may be confluence for the bias of a FED pivot and return to risk.
US2Y and 10Y bonds yields always “follow” FED rate paths. Now we “see” some “experts” encouraged us to “save” money into banks (especially USD denominated a.c) to gain higher rate. Hope to enjoy high fixed guaranteed return like early 1980s which was above 10%!!! Looking at those chart and gold price do you think “fixed deposits “ into bank is “worth” as investments?
Topside Target 5.75%, clear the FVG+ and reject off of monthly ATH downside gann.
US2yr yield looks like it was just having a temporary retrace before blasting higher. Looks set to break out which will be bearish for stonks.
Since the begining of the rise in 2 year yield, USD was following closely. However, USD did not follow rates to new high, but diverged instead. Note that the momentum in 2y yield is slowing, which could portend fall in interest rates in not very distant future, which could in turn hurt USD.