Thanks, Steve.  Is that assessment based upon the market's reaction to this morning's inflation number or were there earlier signs over the past few weeks?

Bond yields rising, not falling.....which would be pricing in lower inflation.  But not extreme so far today. That's my finger in the air tool for today - if bond yields start falling, the market will like follow with a pullback (just garden variety to a higher low, unless yields really plummet, signalling growth and deflation worries).  They have a huge new batch of fish on with this squeeze though...can't pull back much and risk them throwing the hook.

Pretty interesting that China has been shorting Gov bonds (to try and keep yields from plummeting) as a form of capital control.  They're also asking the exchanges for lists of institutions and individuals buying large sums of bonds and made a recent declaration to reverse many sales. They're just trying to stem the tide of capital fleeing their equity markets and are switching over to full authoritarian mode.