Treasury yields hit a 3 week low on Monday as the 10 year yield dropped to 2.36% on Monday (interestingly, that is exactly 1% higher than its all time low of 1.36% in the wake of the Brexit vote last July). The twin forces at work are (1) Higher yields due to continuing strong economic reports (Consumer Confidence, Pending Home Sales both outperformed expectations) combined with potential inflation (Oil is again above $50 per barrel) or (2) Lower yields due to lower expectations for tax reform and infrastructure fiscal policy in the wake of last week’s failure to pass health care reform and lingering Euro worries (Brexit fallout, Greece is “fixed” again, but Italy is in trouble). stay tuned. By David R. Pascale, Jr. , Senior Vice President at George Smith Partners.