Bonds Ignore Tepid Data, Opting to Hold Range

Granted, today's only available domestic economic data is the S&P PMIs, but the market could have justified either a stronger or weaker response.  The services PMI was right on target, falling slightly from last month but still connoting expansion. The manufacturing PMI missed by 2.2 points to push even deeper into contraction territory.  Rather than lean on the lackluster showing to solidify the AM rally, bonds have given up more than half of the overnight gains in early trading.  The result is another day that looks set to reinforce the same old trading range.