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Bond yields rising

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With the Dow and the Nasdaq both down over 100 points today I would expect to see bond yields falling, but the yield on the 5-year Treasury Note Index is actually up 1.84% today? So if money is going out of bonds, it must be getting ready to be going back into stocks for a late day rally right?

5-year Treasury Note Index (FVX.X) Chart - daily

Rising prices in the Gold Index (XAU.X) and falling prices in the Banking Index (BIX.X) make me think that money ISN'T going to start flowing back into stocks, especially technology, at least not today. There was a "hint" of inflation in the unemployment numbers, but the rising Gold Index makes me wonder if there is more to the story than wage inflation. With all this floating around the markets I can't imagine a lot of traders wanting to go home long over the weekend.

Gold Index (XAU.X) Chart - 60-minute interval

Jeffrey Canavan
Assistant Analyst

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