Bonds at Their Lowest Following Investor Shifts

The prices for Australian bonds slide to its lowest levels after investors have started to set their sights on equities for profit.

The dramatic turnout was the result of traders selling off and taking advantage of high prices. Only this decision has driven future prices of bonds to fall and the bond market has since been growing weak.

According to a strategist, it appears that it was a technical-driven move that cut across fixed-income markets like Aussie futures, German Bunds, and US Treasuries. It is apparent that they are all going through the same key technical levels.

The US economic data has receive positive favors from investors in its recent report, prompting others to project that the US Federal Reserve will not intervene and affect some sort of stimulus to boost the economy.

Trading for September 10-year bond futures were down at 3.275 percent from 3.395 percent, while the September three-year bond futures were down from 2.860 percent to 2.790 percent.

The lowest levels for bonds were in effect last May 4, but that all changed Thursday night, as investors assess the business conditions.