The Continuum ™ (monthly 30 year yield) is bouncing hard today after dropping deep into the support zone we have been noting for months after inserting another red arrow at the peak of the Great Rotation hype (GRH).

What usually comes next (with gold breaking down technically) is the US dollar bulls, not to be found when we got bullish many weeks ago, will start talking about rising yields being bullish for the now over bought dollar (they are) and bearish for gold (they are too, but only if aligned in a declining yield curve as they are currently).

As for the US stock market, it rose with yields out of the 2012 low.  It also topped with yields at the peak of the GRH.  What happens if yields find a bottom here and the curve continues to decline?

The point though, is that the whole perceptions game is going to get cranked up again with every a-hole with an opinion throwing their hat into the ring and most will just be guesses by hog callers hoping to be da man (or da wo man).  Here is an opinion from one a-hole… this is a market driven nearly berserk by relentless policy input and the signals are flashing like red and green blinking lights on a fake Christmas tree.  Here is another; Q4 is going to be interesting.