Jobless Claims Stoke The Rally Fires For Bonds

If you like low rates, you are often unfortunately rooting for negative economic data.  You're not a bad person.  Bonds are simply a hedge against economic weakness.  Much like watching sausage being made, you don't have to like watching people file for unemployment in order to appreciate the impact it has on rates.  Case in point, today's jobless claims numbers surged (261k vs 232k previously) and bonds are rallying accordingly.

10yr yields touched the 3.82 ceiling before the data and are already down to the 3.72 pivot point--fully erasing yesterday's sell-off driven by the BOC (Bank of Canada).