Well, it’s official. The yield on the ten-year note just hit four percent and, though it’s back down from that mark, given what’s happened in financial markets over the last week or two, that’s probably just a very temporary development.

Zero Hedge reports that this morning’s three-month and six-month bill auctions were the weakest so far this year. Yields at the short-end are rising and it could have been worse if not for the volume of direct bidders (those who bypass the primary dealer network and place their bids directly with the Treasury Department and, in the process, conceal their identity). It’s already shaping up to be an exciting week and it’s just getting started.