Whether it is Draghi's jawboning - which has slammed EURUSD back to 1.36, juicing the carry trade (in spite of his concerns) - or the better-than-expected payrolls data, US equities are surging and so are bond yields. The initial reaction to the good news was a selloff in stocks but that was quickly recovered as USDJPY lifted all stops through 102 and saved the day and the meme that all is well in the world. Treasury yields are up 3bp (long-end) to 6bps (short-end) as rate-hike expectations shift from July 2015 to June 2015. Gold and silver were slammed into the print and have rallied since.
Stocka re up (after initially dropping)
[4]
Thanks to USDJPY...
[5]
As Draghi slams EURUSD...
[6]
and Bond yields surge...
[7]
Charts: Bloomberg
