Long bond break ...

Here's a chart of the continuous U.S. Long Bond future. You can see that we broke below an uptrend line that dates back to the late June low. Ten-year Treasury note yields also broke above a downtrend line that came into play just over 4.6%. Here's a story with my comments on the action.

Worth noting: The recent rise in rates appears to be cutting the legs out from under the Mortgage Bankers Association's purchase application index. That index had been climbing until the past two weeks. It then dropped 5.9% in the week ended 12/15 and 10.6% in the week ended 12/22. These numbers are notoriously volatile this time of the year, so the size of the declines is likely exaggerated a bit. But if we continue to head lower in January, we'll know it's more than that.