I'm hearing volume so light in Treasury trading that you'd think tomorrow was Labor Day. Treasuries rallied late in the morning to 5.12% on 10's and hung there all day. MBS outperformed by 1 tick, but hard to say that means anything. The minor sell off in oil probably helped the bond market marginally. TIPS underperformed by 1-2 ticks. Since TIPS pay out on headline CPI, any buyer of TIPS is making a bet on oil and/or against the Fed.
Retail sales (Friday) is the only major economic release this week, so we are probably looking at light trading all week.
No comments:
Post a Comment
Comment rules:
All comments must contribute to the conversation
All comments should be civil
No comment should include any personal attacks, however minor, on the author or other commenter.
Do not hawk your own website unless its a specific reference to the article
If you post anonymously, please give some identifyer
I will delete any comment which doesn't fit this criterea