10-Year Treasury Yield At Critical Level
Brian Gilmartin | Jul 31, 2017 12:01AM ET
Looking at the weekly chart of the TNX, the CBOE 10-year Treasury Yield Index, I'd say the 10-year Treasury yield is at a critical level. A trade much lower in yield toward 2% and it would appear the uptrend that started last summer is over.
For those of us that lived through October 1987, the weaker dollar that year led to higher commodity prices, particularly crude oil and the fear of much higher inflation. The weak dollar hasn’t done a thing for inflationary expectations this year.
Given the chart, I’m expecting higher yields and lower Treasury prices over the next few weeks.
Disclosure: Still long the ProShares Short 20+ Year Treasury ETF (NYSE:TBF), have been for a while.
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