Treasury bonds caught a slight bid

It still felt like a continuation of risk-on sentiment, despite lower stocks, in the corporate bond markets.
Treasury bonds caught a slight bid and rallied but whether this holds or not remains to be seen.
If the overall risk on sentiment in the market continues, the bid for Treasury bonds may dissipate as investors will continue to pile into relatively riskier asset classes such as stocks and corporate bonds.
If, on the other hand, any one of the known unknown extraneous factors kicks back in (such as European financial instability or Middle Eastern unrest) the bid for safety will likely come back.
Both Treasury Secretary Timothy Geithner and Federal Reserve Chairman Ben Bernanke sounded a note of caution about Europe.
Spanish, Italian, and Portuguese bonds traded heavy.
Underlying issues will pop to the fore from time to time as the LTRO (long term refinancing operation) liquidity shot wears off.
Like a chocolate fiend, withdrawal symptoms can be painful.
Initial jobless claims numbers are out on Thursday.