Barrons.com
Bond Futures Dip. Bigger Drops Could Be Ahead.
The bond market is closed for Columbus Day, a federal holiday, but futures tracking the 10-year Treasury note yield are down from last week. At one point last week, the yield hit 4.887%, the highest since August 2007, according to Dow Jones Market Data. “The stock market is extremely oversold amid a surge in bond yields and any positive news on inflation from Thursday’s CPI could spark a rally in bond prices and a decline in bond yields largely because bond yields overshot to the upside in recent weeks and bond yields are due for a correction,” wrote James Demmert, chief investment officer at Main Street Research.