By Tony Pasquariello, Goldman head of hedge fund coverage
Another big week is in the books, punctuated by the heavyweights: both ISM and payrolls, both AAPL and AMZN. In the end, however, the biggest development was clear: the back end of the US bond market is under some serious pressure.
Which is to say: a significant break higher in Japanese rates triggered a bear steepening of the US bond market, which spilled pressure across the rest of the macro complex, and notably impinged on the highest velocity parts of the stock market.
