The man who whispers in the ear of the financial markets made some people happy. At his successive hearings before the House of Representatives and then the Senate Banking Committee, the Federal Reserve Chairman said he was well aware of the risks posed by a restrictive policy on the health of the US economy, but warned that releasing pressure too soon could allow inflation to pick up again. After blowing hot and cold, the more dovish-than-expected tone confirmed investors' expectations of future rate cuts. According to the Fedwatch tool published by CME, the probability of a 25bps cut at the June meeting is now flirting with 60%. If we add up the most optimistic, those betting on a 50-basis-point cut, the figure even exceeds 70%.

Christine Lagarde's tone is hardly any different. After unsurprisingly leaving its key rates unchanged, the ECB has confirmed that prices are on the right track, and even if she's not claiming victory, the change in tone has not gone unnoticed. This was evidenced by the easing observed in eurozone bond yields in tandem with the European Central Bank's announcements. At the beginning of the month, the German 10-yr. bond hit its 200 moving average at 2.50%. However, we will wait for the break of 2.25% at the close to give more credence to the end of the recovery initiated since the beginning of the year, with an expected return to 1.90%. For its part, the US 10-yr has played off the first support at 4.20% and is testing 4.07%, whose breach would also reopen the recent lows at 3.85/78%.