Bond yields went down to its five weeks lowest

According to the main strategist in Mizuho Securities, Hiroko Iwaki, right now it is very hard to find the possibilities for yields to climb up again.
After the crazy rally that bond yields made on the bare promises of Donald Trump during his presidential campaign, they lost the pace. The ten-year yield went to the 2.200 percent, the lowest number since the last November. In December 2016 the yields jumped 2.6 percent up, right before the elections, when investors were hoping for financial stimulus in the nearest future.
After the big failure with the health care project which did not pass even through presidential Republican Party, the decrease in the Treasury yield became more noticeable.
Meanwhile, America, apparently, has stopped blaming China for manipulations with currency, since there were no accusations for a long time. The report appeared last Friday did not name currency manipulators at all, despite the key line of Trump’s campaign in the past.
Analysts believe that the relations between both countries became warmer. Some of them think that the USA just wants from their new friend China to go bolder against the North Korea. The USA and China have the common enemy right now.
And the tension about missile and nuclear program of the North Korea is getting worse. After they have failed during missile tests, America and China got reasons to believe that it is better to unite the powers.
The dollar went down to the 108.13 yen, losing 0.4 percent during the trades. And euro still kept its position at the 1.0622 dollars.

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