Hopefully, subscribers aren’t getting too bored of us discussing bond yields but they’re undoubtedly the train driving equities at present – Australian 3-year bonds broke above their July highs yesterday, less than 0.5% below fresh decade highs.
- We are targeting an upside test towards 4% by the Australian 3-year bond yield over the coming weeks implying another wave of inflation fears is looming on the horizon.
- Overall we believe this major rally is reaching maturity but ideally we will see one final pop/attempt on the upside.
MM remains bullish short-dated bond yields
