Posted To: MBS Commentary
One of the most anticlimactic days in recent memory bonds did nothing other than shuffle through some incidental ‘housekeeping’ trades yields closed in same spot for 3rd straight day bigger decisions on hold (again) These recaps tend to fall in the same old word-count range on any given day, but scarcely enough happened today to get us there. Bonds were sharply and aggressively lifeless on a Friday where they could have done very little to surprise . A strong move back into the previous range would have made it look like markets were calling the Fed’s bluff and a massive sell-off would have made it look like the broader shift in the rate-hike outlook was still being priced in. As it stands, we were treated to neither eventuality. 10yr yields hit the 3pm CME close right in line with…(read more )