Could the Treasury Market See Another "Sell the News" Reaction to a Fed Rate Cut?

The technical condition of the Treasury market has become quite dicey again.

• The stock market remain has remained in a tight sideways range this week, but the “set up” it still pointing to a nice Santa Claus rally into the end of the year.

• HOWEVER, the bond market is testing a key support level (in terms of price…resistance, in terms of yield). Therefore, if we get the same kind of “sell the news” reaction for long-term rates to next week’s Fed rate cut…the bullish narrative for stocks could actually receive a bucket of cold water.