The 2.91% technical level in 10yr yields held firm as a ceiling overnight and domestic traders began pushing a lower-yield agenda in the 7am hour. At 8:30am ET, both of this morning’s economic reports suggested the economy isn’t in nearly as much trouble as seemed to be the case in late July. Yields reacted by moving back up toward (but not above) the upper technical levels. This is a reasonably resilient way to start the day. Holding below 2.91% would suggest bonds are more interested in consolidating than continuing to push back up to bigger picture range ceilings in the 3.07-3.17% area.
Bonus chart from this morning’s existing home sales data showing the shift in home prices (note: 10% is still very high, historically, although everyone assumes this will continue to moderate):