I thought it was odd bonds didn't react to last week's rate hike. Regardless, the lack of volatility represents a positive development for risk assets, especially stocks.
It's the weekly currency edition of What the FICC?
Yesterday, the US dollar index $DXY booked its largest three-day gain since it peaked in late September. So will today's bounce turn into tomorrow's rally?
I don't know. But you want to monitor these two levels for insight.
The near-term direction of US interest rates will play a major role in how market conditions resolve in the coming weeks. This is a chart you want to monitor closely...
