Posted To: MBS Commentary
It’s been a surprisingly busy morning for financial markets, and very little of that has to do with NFP. Bonds were slightly stronger overnight and after a small, but volatile reaction to NFP managed to hold inside yesterday’s weaker levels. In other words, 10yr yields ultimately lost ground following NFP, but didn’t go any higher than yesterday’s 2.02+ technical support. Further support came from slumping stocks and friendly Fed speakers in the 10am hour. Around the same time, an updated Greek election poll showed the party favoring a Eurozone exit still in the lead. As long as that continues to be the case, markets view the ECB as more resitricted in terms of the QE package they might announce (because Greek elections are on the 25th and the ECB announces on the 22nd). Bottom…(read more)
Via:: MBS MID-DAY: Bonds Stay Green After NFP, Fed-Speak, Greek Polls, Stocks, and France
