Auction results showed people are feeling safe to buy debt. Results were stronger than I had expected. |
Higher stocks means selling pressure for bond futures. |
The market is pricing in a policy shift, including a rate hike some time later this year, as the economy is showing signs of a pick-up. Shorter debt may remain under pressure. |
There was speculation more members would vote for a shift in monetary policy. The bank decided to keep policy with a 7-2 majority and that will make people feel comfortable purchasing bonds. |