We're anxious fence-sitters. Yields are back to where we like them -- and we'll like them more if we see more buyers and improved price action.
The suspiciously absent real money buyers, that were expected to step in and buy as yields backed up, have finally emerged -- supporting our view that we are near a temporary floor.
While the curve has moved to flat as a pancake to a bit inverted and yields open the year near 4.38%, we are not excited about further inversion just yet.
These are ugly numbers for bonds. I have been calling for 10-year yields to move back above 4.6 percent.