Posted To: MBS Commentary
One of the biggest surprises I encountered as I’ve learned about bond markets (and financial markets in general) over the years is just how big a role is played by human people. There’s a tendency to think that the market is so big, complex, fast, and automated that the individual human person couldn’t possibly matter. Indeed, when we’re talking about any random person, that may be true. But if you take a key player out of the mix, things start to change. If holiday-related absences take multiple key players out of the mix at the same time, it’s even more noticeable. With Christmas happening on a Tuesday, it’s a prime candidate to create a 4-day weekend (or more) for many of those players. What does this mean for markets? The base case is that it means bonds will favor…(read more)
Via:: MBS Day Ahead: Glut of Data and a Dash For The Door
