10-Year Treasury yields are testing LT support at 2.00% after falling 120 basis points (bps) since late last year.
Rising global uncertainty has caused a massive outflow from equity funds into bonds.
‘Since the beginning of the year, total equity-fund outflows have tipped the scales at $155 billion, while bonds absorbed aggregate inflows of $182 billion over the same period, the largest bifurcation between the two asset classes in 15-plus years.’ https://t.co/4JpD5J6KzM pic.twitter.com/QD6E5hCkRU
— Jesse Felder (@jessefelder) June 13, 2019
The Dollar Index penetrated its rising trendline, warning of a correction to test 95.
Demand for Gold is boosted by lower bond yields and a lower Dollar. Spot Gold breakout above resistance at $1350 would signal a fresh advance, offering a medium-term target of $1500/ounce (short-term: $1400).
