What in The World?

Over the past three months, the US Ten Year Note has gone from paying 3.65% to 4.42%. In a way that's healthy as many of the most important spreads within what we refer to as the slope of the US Treasury yield curve, have normalized. The issue is this. The Federal Reserve Bank has been dovish and has been working towards suppressing yields at the shorter end of said curve.

That means that bond traders are pricing in risk, debt and the fiscal largess of the US legislature even as certain parts of the US equity market sit at all-time highs, even as inflation has undeniably been reaccelerating since at least September if not a month or two earlier (at the core). Where would these rates be, if so, much of the developed world were not in the dumper?

China's economy is not just underperforming but is leveraged way over its head. Is the only answer there to add stimulus that will only end up exacerbating the problems that arose from fiscal policies that make ours look responsible. The French government has fallen. The German government has fallen. Who knows what's going on up north?

The Canadian government has suddenly become the least stable in North America is not much of the western hemisphere as Trudeau's political allies appear to have started to jump a sinking ship. There may be a confidence vote headed the Canadian government's way ahead of next year's scheduled election. The G-7. A rat's nest of fiscally reckless nations. Yet, US Treasuries, at least from the belly of the curve on out to the deep end, cannot find a safe haven bid. Even as the US Dollar apparently has. Food for thought.