Tomorrow contains a good mix of scheduled economic reports and Fed speakers. Here's the run-down:

830am - Producer Price Index
9am - Treasury International Capital (TIC Data)
10am - Housing Market Index
115pm - Bernanke
630pm - Fed's Lockhart

Given the current level of apathy that seemingly pervades the inflation conversation these days, PPI still isn't expected to be much of a market mover, and neither is the housing market index for that matter.

TIC Data might be more interesting if it wasn't quite so outdated. Some are interested to see how recent rhetoric about China's currency might affect their investment in US securities, but tomorrow's TIC data covers August--too far before the main thrust of recent legislation. That said, 10/24 will mark the release of the investor class data at last week's auctions and will do a more timely job of answering those questions.

For a more detailed look at the entire week of economic events, check out MND's "week ahead:"

MBS Have continued to trend in an almost exclusively positive and uncharacteristically stable fashion all day long--at least uncharacteristic in the context of recent volatility in early October. Here's a quick check of the levels for the mobile crowd:

- Fannie 3.5's up 0-14 to 101-06
- Fannie 4.0's up 0-10 to 103-13
- Ginnie 3.5's up 0-14 to 103-04
- 10yr Notes down 0.925 to 2.1585

10yr yields also hit the 3pm close well under their short term pivot point at 2.18. It also looks as if there's little chance that 10's will fail to REJECT the 5pm break of 2.231 that occurred on Friday. All good things from a technical standpoint.

Back to MBS though... The gains thus far have been more than enough for a few lenders to reprice for the better, and since then, MBS have only held or improved, so a few more lenders might get on board with that before the day is out. Here's a link to a recent blog post with some charts including a good look at the stock lever as well as the technical breakout behavior around 2.18 in Treasuries:

The following is a good recap of some of the news we discussed earlier as having a positive effect on bond markets overnight. Full story in the link, but here are a few highlights:

(Reuters) - Global stocks and the euro fell on Monday after Germany dashed expectations of a breakthrough to the euro zone debt crisis at a highly anticipated upcoming summit of the European Union.

German Finance Minister Wolfgang Schaeuble said that even though European governments would adopt a five-point platform to address the two-year-old crisis, a definitive solution would not be reached at the Oct. 23 summit.

The remarks took the wind out of recent optimism that had sparked a rally in global stocks of more than 10 percent in just nine days and had pushed benchmark 10-year U.S. Treasury debt yields to post their best three-week advance since late December.

Shares in Europe and the United States retreated and crude oil extended losses. The euro slid from a one-month high against the U.S. dollar touched earlier in the global session, falling 0.9 percent to $1.3756.

"There's nothing but uncertainty in Europe," said David Ader, head of government bond strategy at CRT Capital in Stamford, Connecticut.