What started as a rebound in cyclical stocks as as the yield curve steepened has turned into a full-fledged rally, with techs also turning positive.
The Dow (DJI)+1.5% is still the big gainer, led by big price gains in UnitedHealth and Goldman Sachs.
The S&P (SP500)+1.2% is up, with all sectors gaining. The Nasdaq (COMP.IND)+0.6% has turned positive as well.
Rates are still up, but off their highs. The 10-year Treasury yield is up to 2 basis points to 1.47%. The 30-year is up 4 basis points to 2.07%.
"The motionless of stocks near all-time highs and yields near all-time lows is likely ending in the weeks ahead as the Fed, ever more data dependent, contemplates its next move," BTIG's Julian Emanuel writes.
"A higher 'trend' in inflation is not the 'friend' of financial assets long term, volatility in both stocks and bonds, moving together in response to actual and perceived inflation data, is set to heat up in the weeks ahead."