Helping the financial stocks.
The 10 year yield reached a low on Thursday last week at 2.3384%. On Friday it closed marginally higher at 2.405%. The high yield today has reached 2.4973% we currently trade at 2.4938%, up 8.87 bps.
That gain is the largest rise in yields since January 4th when the yield moved from 2.553% to 2.667% - a gain of 11.4 bps. The rise today is that largest increase since that day.
Looking at the hourly chart below, the move higher has taken the yield above the 200 hour MA at 2.4612%. That yield is now support.
The pair is approaching the 38.2% of the move down from the March high. That retracement level comes in at 2.5017%. A move above will target a topside trend line at 2.53%, and the 50% retracement at 2.5521%.
The rise in yield is helping the financial stockst today:
- Bank of America, +3.57%
- Citigroup, +3.33%
- PNC financial +3.30%
- J.P. Morgan, +3.14%
- Charles Schwab, +3.09%
- Morgan Stanley, +3.16%
- Goldman Sachs, +2.13%
