london the bond markets consolidation is drawing to a close and investors should look to bet against 10year us treasurys and uk gilts according to strategists at rbc capital markets in a note wednesday rbc told investors it had taken profits on a trade backing a tightening of the spread between 10year uk gilts and german bunds while taking outright short positions on the benchmark us 10year treasury and uk 10year gilt to short a government bond is to open a trade that profits if the price of the bond falls effectively betting that yields will rise this has been a key focus for investors in recent weeks as the prospect of global economic reopening and a potential uptick in inflation prompted concerns that central banks may look to wind down their unprecedented monetary policy support the us 10year yield continued to rise on wednesday climbing to 16324 by late afternoon trading in europe rbc global macro strategist peter schaffrik said this trend was now here to stay schaffrik suggested that the gathering speed of covid19 vaccinations in europe would assuage concerns about the broader economic reopening while warmer weather in the northern hemisphere would see social activity shift outdoors keeping virus caseloads lower even as restrictions are eased despite the worrying reports about mutations of the virus the risk of this development delaying the reopening has been priced to some degree already schaffrik said meanwhile there are also first signs that some of the vaccines being used particularly the mrna vaccines used predominantly in the us and eu might be more efficient against the new strains than previously feared