US 10-year treasury yield hovers around 3% in Asia

• The US 10-year yield seeks acceptance above the 3 percent mark. 
• 10-year Treasury-JGB spreads are widest since 2007.

The 10-year US Treasury yield is hovering around 3 percent in Asia and will likely scale the psychological barrier in a convincing manner soon. 

The daily chart shows a bull flag breakout, which means the yield could rise as high as 3.5 percent in the near term. Meanwhile, the weekly chart shows an inverse head-and-shoulders breakout -  a bullish reversal pattern which adds credence to the argument the 30-year bull market in bonds has ended. 

The pick up in the treasury yields and the resulting widening of the yield differentials bodes well for the US dollar. For instance, the 10-year US-Japan bond yield spread stands at widest since 2007.