From Societe General
Markets are chasing their tail even more than usual at the moment. That mostly reflects what’s going on in treasuries, where 10s are back up at 1.8% this morning after a bearish day that lacked a clear reason to be so. Mixed data, a reasonable 5-year auction and more headlines from a poll in Florida that gave a bit of hope to Trump supporters don’t look like convincing reasons for a bearish move and a fairer interpretation is that the last fortnight, since the September payroll data, has seen a 1.72-1.81 range with a 1.76 average and until we stop meandering around in that range, it’s not worth over-thinking anything.
