Posted To: MBS Commentary
If you happened to be out of the office yesterday, 10yr yields finally broke out of their most recent consolidation pattern and moved quickly to the highest levels in just under 7 years. Big spikes can sometimes be isolated. That means today could have seen a decent move back in the other direction. For a few fleeting moments this morning, that possibility remained on the table, but by mid-morning, it was gone. Bonds taunted optimists one more time with a bounce right at yesterday’s high yields. In other words, it looked like we had a chance to form a 2-day double top at 3.0945%. But the afternoon hours crushed that little dream with a linear move up to 3.1038% by the close. Specific motivations were in short supply. One of the only cogent arguments in the bond trading community was that…(read more)
Via:: MBS RECAP: Mostly an Aftershock For Yesterday’s Bond Rout
