Modest Incidental Weakness

Modest Incidental Weakness Despite a bit of incidental selling today, the bond market has survived the winter holiday season without even attempting to break outside the narrow prevailing range. This is especially true for shorter duration Treasuries and MBS. It has been and continues to be the case that we won't get a sense of the next wave of momentum until next week at the earliest. It could take even longer if the econ data fails to make a compelling case for better or worse. Econ Data / Events S&P Global Manufacturing PMI 51.8 vs 51.8 f'cast, 52.2 prev Market Movement Recap 09:35 AM Modestly stronger overnight and little-changed so far. MBS up 2 ticks (.06) and 10yr down 0.3bps at 4.165 01:29 PM weakest levels of the day.  MBS down 1 tick (.03) and 10yr up 1.7bps at 4.186