Bonds lost ground steadily in the overnight session, but are turning green in early trading on Friday.  Once again, the 9:30am NYSE opening bell emerges as a jumping off point for bond momentum.  This could be driven by month-end asset allocation trading or simply improved liquidity and new traders entering the market for the day. 

Either way, our discussion question is the same as yesterday: what do we make of friendly bond bounces against the backdrop of the recent rate spike?

It's worth remembering that rates have been trending higher, in general, since August 2020 and that the most recent departure isn't as big as the one seen in early 2021.