Suddenly Scared About Powell and Supply

Most of today's market movement was in the books within the first half hour of domestic trading. As such, the end of day thoughts don't add much to the AM commentary. Long story short, global markets are suddenly scared of what Powell may have to say at Tuesday's Q&A at a previously scheduled appearance. Anxiety was/is amplified by the presence of a new round of 3/10/30yr Treasury auctions and a slew of corporate bond issuance adding to the supply side of the bond market equation for the week.

Econ Data / Events

- No significant econ data

Market Movement Recap

11:05 AM

Sharply weaker overnight on strong EU data and corporate supply in early US trading. holding sideways to slightly stronger since then. 10yr up 10bps at 3.618. MBS down 5/8ths of a point after being down 3/4ths or more earlier this AM.

12:24 PM

Bonds had recovered a bit from the weak opening levels, but are now losing ground again. 10yr up 12bps to the highs of the day at 3.64. MBS are down 22 ticks (.69).

02:31 PM

Recovering slightly after 130pm. MBS were down 3/4ths of a point and are now down only 5/8ths. 10yr up 11bps 3.627.