MBS Day Ahead: Today Suffers From One Major Issue: It's Not Tomorrow

What are we even supposed to do with today?  Whether from the standpoint of market participant or market watcher, there's precious little to care about today when we all know it's tomorrow that determines the next big move.

Adding some insult to injury, there aren't even any relevant pieces of economic data or scheduled events.  This is actually for the best, though, as it gives markets a chance to reveal any latent urges before everyone's post-Fed urges are very much on the record.

Adding more insult to injury is the fact that there's only one way for bond markets to be interesting today, and that would be with a move into weaker territory.  Reason being, there's been so much selling pressure recently, that the technicals are riper and riper for a more developed correction.  But of course such technicals are meaningless against the grandeur of expectations for Wednesday.  Long story short, if there were to be no big-ticket events on the horizon, the recent path of rates would suggest we'd be catching a bigger break soon.  As it stands, it's still all about the Fed.