The 10 year yield has moved to a new cycle high at 1.6868%. The yield is the highest since January 24, 2020. The run higher is ahead of the FOMC decision at 2 PM ET and the Powell presser at 2:30 PM ET. Needless to say, focus will be on comments about the run up in yields.
Looking at the hourly chart, the next major target comes in at the 50% midpoint of the move down from the October 2018 high at 1.7866%.
Since near the end of January when the yield corrected to near 1% and based, the yield has moved up 690 basis points. The previous swing low was in August 2020 at around 0.5%. The low yield last week reached 1.47% before resuming the run higher this week.
The Nasdaq index moved back lower on the back of the move to new highs. It currently trades down about -157 points or 1.16% at 13314.
The Dow is still higher by 111 points. The S&P is down -16 points or -0.43%.