Sorry to make such assumptions. I understand your point on the cause of the suppressed yields. It is obvious to all. I do not however subscribe to the notion that it is rising because the FED has arbitrarily decided enough is enough. Do you really think they would stop the bond purchases if they thought it would harm the economy? I also state that 3 percent is historically very low.
The proof as to who is right will be seen very soon. Housing, retail sales, manufacturing, jobs, lending etc... Lenders were very reluctant to lend with yields being so low. They now have an incentive, called greed and profits. Lets see if the lending environment contracts or expands. My money is on expansion. Even the housing market data points are not showing any dramatic drop. Perhaps with the recent rise to close to 3 percent it will. There is a point where it will derail this still fragile economy, but until the data shows otherwise I stay the recovery course.
Market Data 
Markets 
