Yields Turn Lower
05/20/2010 9:28 am EST
The increasing concern over Europe’s spreading debt problems has caused an influx into the treasury market as the yields on the ten-year note have turned lower. For the past year, the yields had been bumping into resistance in the 3.90%-4.00% area. Earlier this year, it looked as though yields would move above this key level, but the recent decline keeps the downward trading channel intact. A break below 3.2% should signal even lower yields ahead.
Tom Aspray, professional trader and analyst, serves as video content editor for MoneyShow.com. The views expressed here are his own.