Behind Wed's US bond rally - BBH

FXStreet (Bali) - Win Thin, Global Head of Emerging Market Currency Strategy at Brown Brothers Harriman, thinks that somethingmore fundamental than just a readjustment of position occurred during Wednesday, when US bonds soared.

Key Quotes

"For the UST 10y to move so sharply on the perception of what must be moderate extensions (guessing looking at auctions bid to cover), there must be something more fundamental."

"One doesn’t drop from a local equilibrium simply from an adjustment in positions. It may be a readjustment in the expectation of longer term growth."