September 15, 2014
Brian Battle, director of trading Performance Trust Capital Partners, said the recent move higher in Treasury yields is more about a return to normalcy than anything else. At 2.6%, yields remain lower than where they started the year. That's a bit of a disconnect since rates often move much higher at a time when the market is expecting the Fed to put on its rate hiking boots soon. In fact, many experts thought bond yields would climb sharply in 2014. The rationale was that bonds were overvalued and investors would dump them in favor of stocks.