Posted To: MBS Commentary
Bonds have been sideways to slightly weaker since last week’s FOMC Minutes Markets not only coming to terms with increased June/July rate hike odds, but Fed is spelling it out Auction pressure and corporate bond issuance didn’t help Higher stocks and oil didn’t help Yields were close to unchanged, but still near higher end of recent range Things are starting to look pretty tenuous for bond markets. We can’t seem to muster the strength to battle back into the territory we gave up with last week’s FOMC Minutes, and that’s not reassuring considering the time of month. Month-end is traditionally a more supportive time for bond markets–one where we often benefit from the extra bond buying money managers are forced to do, in order to bring their portfolios in line with certain…(read more )