The flight to safety even includes Italian sovereign debt now, as US housing market feels Fed tightening

Flight to liquidity reminiscent of January and February

As the equities market sells off, it's worth noting how much the sovereign bond market is rallying at the same time. I am seeing the 10-year US Treasury bond quoted at 3.079%, well down from a level just over 3.25%  at the beginning of October. And German 10-year bunds are trading at 35.3 basis poin…