US 10-Year Treasury Yields have pulled back after forming a lower peak near 4.09% earlier this month. The decline is set to continue towards 3.07%, economists at Société Générale report. 

Correction towards 3.07%?

“An initial bounce is not ruled out, however, last week's high of 3.65%/3.70% should provide resistance.” 

“Daily MACD has entered negative territory denoting possibility of potential downside.”

“Holding below 3.65%/3.70%, ongoing down move is expected to persist towards the lower limit of a multi-month channel at 3.17% and projections of 3.07%/3.02%.”

See – US 10-year Yield: Any break below 3% should prove short-lived – ING