The US session has brought a turnaround on the markets that were under pressure in Asia and throughout the most of the European session. The reason for this pessimism was a combination of relatively hawkish FOMC minutes and downbeat data from China showing major declines of both exports and imports in September.
However, moods were improving around the lunch time and after the first 30 minutes of the US trade. It seems like a pullback of the US dollar was the key driver here: without any key news US yields declined along the curve with 10y yields down 3 basis points on the day. We see it as a pure profit taking after hawkish minutes and ahead of uncertain sales data tomorrow.