Posted To: MBS Commentary
Bonds struggled to find inspiration for the first few hours of the domestic session, but it was soon in ample supply thanks to Brexit-related headlines ( like this one ). The result was a broad-based risk-off move that saw bonds move back to their strongest recent levels. Notably, though, that’s as far as bonds got. Specifically 10yr Treasury yields were once again blocked by a floor in the mid 2.82% range. This has been an on-again off-again pivot point of high significance since late May, 2018. Sometimes, bonds approach such pivot points with the intention of breaking through. That seems like a lot to ask of this rally, given the ground that’s already been covered. At the very least , it seems like we’ll need help from economic data in the rest of the week, and at the very least…(read more)
Via:: MBS RECAP: Bonds Hit Resistance Right in Line With Last Week’s Floor
