30 -Year yields

Worldwide long end yields moving higher today ,hard to pinpoint one specific reason. Possibly pricing in some type of Yield curve control at nerxt weeks Fed meeting thus causing a steeper yield curve?

From Bloomberg (BBG)

(Bloomberg) — U.S. rate strategists in weekly research
published before Monday’s market open considered how the Fed
might approach yield-curve control, and whether it would
likelier follow the RBA or BOJ model. Curve steepening remains a
broadly held expectation, with Deutsche Bank dissenting.
* Bank of America (Mark Cabana, Bruno Braizinha, May 29 report)
** Yield-curve control is increasingly likely to be adopted this
year “to reinforce forward guidance for a zero target rate”
** Fed would likely cap rates at 25bp at least to the 3Y point,
possibly the 5Y, and beyond “if macro outcomes disappoint”
** Purchases of Treasuries would probably continue in tenors
beyond the YCC horizon
** Largest market impact would likely benefit 5Y-7Y segment,
reflecting “increased probability of the caps being
incrementally extended out the curve”; 5s30s should steepen
* Barclays (Anshul Pradhan, others, May 28 report)
** Curve control would likely take the form of a 25bp cap on 3-
year yields (as RBA has done); a 1% cap on 10-year yields is
less likely

30 year yield net change on day:

USA +3.1 and Canada +4.6 Bps

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