Token Correction

In a rather classic pattern, a hawkish read on the Fed gave way to international selling on Thursday.  From there, a token correction was slightly more likely in the absence of any big ticket economic data, and that's what we're seeing so far today.  In the AM hours, it's been modest, to say the least.  Current 10yr trading levels are still worst than they were on Wednesday afternoon, but MBS and shorter-term Treasuries.