When "good" bonds go bad...

There are a lot of "Flight to safety" bond buyers who are feeling pretty stupid now. Bonds were perceived as a "good" safe haven when the stock market got pounded. Buyers jumped in, bidding bonds up in price and sending interest rates lower.

But now, they're getting killed. 10-year Treasury yields are flirting with a breakout above prior highs just shy of 5.2%. Moreover, Eurodollar futures are down in 12 out of the past 14 trading sessions. You could even argue the market is pricing in a slight ... extremely slight ... chance of a 50-basis point Fed hike at next week's meeting.