Any further gains in this area will probably be as a result of continued weakness in commodity prices. But watch out. The bond market is watching commodity prices much too closely. But, it is a mistake to think lower commodity prices mean lower long-term inflation. At some point wells get capped, new little piggies don't go to market and corn doesn't get planted.
Prices rise as a natural result of working off the surplus.
The bond market may react just as violently in the opposite direction when that happens. We shouldn't be worrying about deflation or inflation. The monetary system is really under control, and rates are now just a little high versus real economic activity. Unless there are some significant shifts in the economic outlook, bond rates should drift a little lower in the next months, but don't expect anything too exciting from the class. The best news we've received recently is the lowering of interest rates in China, and to a lesser extent Europe.