Tue, Feb 19 2019, 9:12 AM
For all of the potential market movers that anyone can discuss so far in 2019, we really haven't seen any concerted effort to take yields higher or lo...
Fri, Feb 15 2019, 3:43 PM
Since Retail Sales rocked markets yesterday, perhaps bonds would be interested in responding to economic data again today? This question seemed to h...
Fri, Feb 15 2019, 9:53 AM
Rates were at long term highs in early November 2019. Several global economic risks were beginning to swirl at the same time. These included a slowd...
Thu, Feb 14 2019, 5:18 PM
Of all the reports silenced by the government shutdown, Retail Sales was probably the most missed. It didn't help that December is a rather important...
Thu, Feb 14 2019, 8:31 AM
Perhaps it wasn't their fault, but several top tier economic reports up and left us during the government shutdown. We knew we'd see them again at so...
Wed, Feb 13 2019, 6:18 PM
At first glance, this morning's weakness was all about the Consumer Price Index (CPI)--the most widely-followed inflation report. In order to make a ...
Wed, Feb 13 2019, 8:48 AM
This morning brings the week's first major economic report in the form of the Consumer Price Index (CPI)--one of the biggest inflation reports. Infla...
Tue, Feb 12 2019, 5:18 PM
It's hard to say exactly where stocks and bonds would be today absent the news from yesterday night regarding a possible shutdown deal. Both sides of...
Tue, Feb 12 2019, 9:46 AM
In the shorter-term, there's nothing too interesting about the past few weeks of trading. Relative to the highs and lows set in the first 3 weeks of ...
Mon, Feb 11 2019, 4:26 PM
I have to stretch to make a day like today interesting. As I'm fond of doing, I could easily label this one of those unofficial 3-day weekend type of...
Mon, Feb 11 2019, 8:53 AM
The two key fiscal issues at the moment are the trade deal with China and the expiration of temporary government funding at the end of this week. Bet...
Fri, Feb 8 2019, 6:05 PM
The bond market is exuding a sort of confidence we've not seen in a long time. I'm not saying that because outright rate levels are lower than they...
Fri, Feb 8 2019, 9:52 AM
Whereas "moving the goalposts" has a negative connotation in general (referring to the changing of the rules in the middle of the game), it's a fairly...
Thu, Feb 7 2019, 6:48 PM
2014 was marked by a sense of hope that helped both sides of the market (debt and equity) make solid gains heading into early 2015. Rates in the US...
Thu, Feb 7 2019, 10:12 AM
If you thought last week's Fed announcement was surprisingly dovish/friendly/concerned, you weren't alone. Compared to the "steady-as-she-goes" Decem...
Wed, Feb 6 2019, 3:20 PM
If you're operating under the assumption that the prevailing momentum in bond markets is sideways for the time being, today offered few surprises. In...
Wed, Feb 6 2019, 9:14 AM
One of the best side effects of the recent consolidation has been the outperformance of MBS vs Treasuries. We often talk about the fact that MBS like...
Tue, Feb 5 2019, 5:24 PM
An interesting thing happened today for those who were paying close enough attention to notice. At face value the week's most important economic repo...
Tue, Feb 5 2019, 9:53 AM
This is a concept we've revisited a few times over the years and it goes something like this:
A strengthening economy implies rising earnings/profi...
Mon, Feb 4 2019, 4:30 PM
Chinese markets were closed overnight for New Year. This slowed trade somewhat. Coupled with a lack of significant economic data this morning, it al...
Mon, Feb 4 2019, 9:34 AM
Last week's key events were the Fed announcement on Wednesday and the jobs report on Friday (with other econ data playing a strong supporting role). ...
Fri, Feb 1 2019, 7:24 PM
I imagine if you polled a thousand people who were among the most qualified to have an opinion about today's nonfarm payrolls forecast, you'd have b...
Thu, Jan 31 2019, 5:35 PM
Yesterday marked a fairly big adjustment in the Fed's monetary approach to the same old underlying economic realities that were in place at the time o...
Thu, Jan 31 2019, 9:50 AM
There's no question that the Fed was surprisingly dovish yesterday--even among those who were expecting a dovish shift. But there is a question as to...
Wed, Jan 30 2019, 4:45 PM
Today's Fed Announcement was the first scheduled big-ticket market mover of the year since the NFP report on January 4th. With the government shutdow...
Wed, Jan 30 2019, 2:03 PM
Information received since the Federal Open Market Committee met in November December indicates that the labor market has continued to strengthen a...
Wed, Jan 30 2019, 9:20 AM
Today's key even is the 2pm ET Fed Announcement. There will be no hike and no adjustment to existing policies. That said, given a noticeably dovis...
Tue, Jan 29 2019, 4:24 PM
There were a smattering of headlines and events available for bond markets to digest today. If rates ended up moving higher, we could likely find a w...
Tue, Jan 29 2019, 9:19 AM
In their best Caddyshack voice, traders are collectively saying "well? We're waiting" to both stocks and bonds at the moment as each side of the mark...
Mon, Jan 28 2019, 5:15 PM
Back on January 18th, stocks made it as high as they've been able to make it since early December. From there, they ebbed a bit and traded sideways f...
Mon, Jan 28 2019, 9:43 AM
The mighty Employment Situation (the big jobs report that gives us nonfarm payrolls, unemployment rate, avg hourly earnings, etc) is the king of all e...
Fri, Jan 25 2019, 6:25 PM
Today's focal point was an anticlimactic can-kicking episode wherein the government shutdown was finally ended, but only for 3 weeks. The passage of ...
Fri, Jan 25 2019, 9:50 AM
We often use terms like "stock lever" and concepts like asset allocation to discuss the conventional wisdom of stock prices and bond yields moving in ...
Thu, Jan 24 2019, 4:25 PM
European Central Bank President Mario Draghi delivered his customary press conference following this morning's policy announcement. Markets expected ...
Thu, Jan 24 2019, 8:47 AM
The ECB announced no change to its policy rates this morning, which was completely in-line with market expectations. In a bit of departure from the n...
Wed, Jan 23 2019, 3:29 PM
There are several "somethings" that could prove inspirational for bond markets at the moment. The biggest among those continues to be any major shi...
Wed, Jan 23 2019, 9:01 AM
Bond yields and stock prices are beginning the day in moderately higher territory than yesterday. This keeps a negative trend intact for bonds (both ...
Tue, Jan 22 2019, 4:39 PM
For those who pay any sort of attention to technicals or simply to "key levels" in the bond market, Friday was the gloomiest day we've had in a whil...
Tue, Jan 22 2019, 8:54 AM
After today's Existing Home Sales data (which is unaffected by the government shutdown because it's published by the National Association of Realtors)...
Fri, Jan 18 2019, 4:11 PM
Bond markets sold-off today in a slightly more alarming way than we've seen so far in 2019. This was accompanied by 11th straight trading session w...
Fri, Jan 18 2019, 9:44 AM
Ever since bottoming out in early 2019, 10yr Treasury yields faced a pretty clear line in the sand from a technical standpoint. 2.82% stuck out like ...
Thu, Jan 17 2019, 4:01 PM
The Wall St Journal ran a story this afternoon suggesting Treasury Secretary Mnuchin was pushing for a compromise deal to ease Tariffs on China in ord...
Thu, Jan 17 2019, 9:00 AM
Unless you've missed the past few days of commentary, you've heard me say something about the sideways uncertainty in markets as investors wait for a ...
Wed, Jan 16 2019, 5:01 PM
Today would have been Retail Sales day were it not for the government shutdown. This also prevented Business Inventories from reporting (not an ins...
Wed, Jan 16 2019, 8:47 AM
There will be no Retail Sales report this morning due to the government shutdown. This provides a perfect example of the issue the bond market is c...
Tue, Jan 15 2019, 6:31 PM
The S&P had been idling in place with prices between 2560 and 2600 for more than a week. During that week, we've discussed the risks associated with ...
Tue, Jan 15 2019, 8:39 AM
Neither side of the market (debt/bonds or stocks/equity) feels like it has enough information to move out of recent holding patterns. These sideways ...
Mon, Jan 14 2019, 4:29 PM
The overnight trading session was thinly-traded due to a holiday closure in Tokyo. Buyers outnumbered sellers until the domestic session. Promptly a...
Mon, Jan 14 2019, 8:39 AM
The government shutdown is now the longest ever, and there are a variety of interesting implications. The first is that multiple economic reports wil...
Fri, Jan 11 2019, 7:12 PM
Core CPI came in at 2.2% today. Back in 2016, this was cause for concern, but now bond markets trade like inflation isn't even a remote concern. What...
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