Posted To: MBS Commentary
Failed Breakout Puts More Emphasis on End-of-Week Events Notice that the headline didn’t invoke “the jobs report” for the 17th time this week. The fact that we’ve been this focused for this long is either a sign that trading is panning out as expected (i.e. sideways between jobs reports or Fed meetings and trending immediately thereafter) or misplaced analysis in a summertime market who’s default state is “sideways until proven otherwise.” Either way, 10yr yields did attempt to break below 1.44 today. Their resounding defeat only adds to the sideways vibes and increases focus on end-of-week events. Of course the jobs report is the headliner in that regard, but tomorrow marks the beginning of trading for a new month and that can be a source of inspiration regardless…(read more)
