10, 5 & 2 year yields are aligned up for the yield curve today with all maturities heading down nominally.

10, 5 & 2 Year Treasury Yields from Bloomberg

For a visual, here is a look at the longest end (30 year) to the shorter end (5 year).  Interesting to say the least, as are so many markets right now.

A declining yield curve has been one of our main reasons to support the strong economy/strong stock market (and cautious gold’s price) stance for about 1.5 years now.  So, what do you think the above means?  Probably just a little blip?  Yes, probably… but.

Checking in on the Continuum, we see that the ‘would-be’ support zone wasn’t… or at least isn’t yet.  So much for the Great Rotation pumpers of the year ago time frame.

Today’s stock market bounce was fully anticipated.  But it will be in the indicators (and the TA) that we confirm its nature going forward.  A lot of those indicators take place in T bond land.