Bond market sees soft landing

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Yields on government bonds plunged on Friday, as reports suggested that the sought-after soft landing for the economy may be a possibility.

persistent strength in the services sectorFalling yields, in turn, perked up the stock market which notched its best day so far this year. The S&P 500 rose 2.

3%, driving the index to a tidy gain of 1.5% for the week.The big inflation update that arrives on Thursday in the form of the Consumer Price Index. If that shows a third straight slowdown, Wall Street will be a happier place.

 

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Or a looming recession.

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