One never knows what to expect on the relatively data-free day ahead of a minefield of potential market movers 24 hours later.  To be clear, we're talking about today as that data-free day and tomorrow as the minefield (British election, Comey testimony, ECB Announcement).  

As I said on Monday, bond traders are generally interested in finding their seats before the big show and then simply waiting for the show to begin.  Asian/European markets suggested US bond markets adjust their seating position by just a bit (geopolitical risks in the Middle East plus headlines about Chinese officials saying they would buy more US Treasuries), but the broader theme remains intact.

Actually, there are a few broader themes.  First and foremost, we know that bonds are battling a long-term inflection point around 2.15% in 10yr yields.  That's the lower end of "the gap" that was created in the days following the presidential election.  But I wouldn't get too caught up in 2.15% itself, simply because we're truly dealing with BIGGER-picture trends.  In hindsight, anything from 2.12-2.19 will look narrow enough to be considered an "inflection zone."  Incidentally, the chart below has several pivot points inside that zone--all of which are suggested and well-supported by recent market movements.

Slightly less broad, but a theme nonetheless, is the confirmed downtrend in yields that's been intact since mid-May.  Breaking above one of these trendlines would be a first-line defensive trigger for risk-averse clients who are floating, but who have the option to lock ahead of tomorrow's riskier events.