If you don’t live in the Northeast and if you don’t read/watch the news, there was a big snow storm. In New York City, for instance, it was the 2nd biggest 24hr snowfall total of all time. Although markets were technically open, more than a few market participants didn’t make it into the office today. That put the tone of trading quickly into “holiday mode” with decreased volumes and a general lack of conviction.
Case in point, volumes were easily the lowest they’ve been all year–looking much closer to December 30th than any day so far in 2016. Bonds ended up making gains in the same trend channel that was starting to establish itself on Friday afternoon. They got a boost along the way from a reversal in oil price gains overnight. After the initial jolt around 3am, stocks, oil, and bond yields just drifted sideways to slightly lower for the rest of the session.