Recent observations indicate a breakdown in the traditional correlation between the U.S. dollar and U.S. Treasury bond yields. Analysts noted that the strength of the dollar, which has historically been influenced by higher bond yields compared to other global currencies, is no longer following this pattern. This shift has been particularly evident in the relationship between the dollar and the Japanese yen, as well as with bond yields from Germany and Switzerland. The correlation has weakened significantly over the past month, diverging from typical trends observed at quarter-end. Experts suggest that the unwind of the yen Carry Trade has contributed to this temporary disconnection, marking an unusual development in financial markets.