Boring, Placeholder of a Day

Boring, Placeholder of a Day

Now that the riveting headline has your attention, you may be dismayed to learn that it really was only a boring, placeholder of a day.  Bonds started fairly flat, made some gains at the 8:20am CME open, and then remained fairly flat for the rest of the day.  10yr yields drifted inconsequentially higher whereas MBS might be better described as truly sideways.  Attention has clearly turned toward next week's Fed rate hike and press conference.  If anything, it's somewhat reassuring to see bonds forego the urge to capitulate on a summertime Friday following yesterday's range breakout, but there's no sense in counting chickens until next Wednesday afternoon at the very earliest.