Although nothing too troubling happened today, it’s hard to find anything glaringly positive. For instance, even though we have some decent gains on the screen, they merely bring Treasuries back into a more linear trend toward higher rights (as opposed to the increasingly aggressive move suggested by last week’s yields).
MBS never experienced quite the same sort of range breakout but they also have the roll to content with next week. All that means for the current discussion is that the MBS chart wouldn’t tell quite the same story as the Treasury chart below and there’s no perfect way to adjust it for that purpose.
Pending Home Sales came in much weaker than expected with the lowest initial print in over a year. Despite that, most headlines point out moderate improvements because the last report was revised down just below the current report.