Mortgage Rates Now Back Above 7%
5 Minutes of Selling, Then Sideways All Day
Bonds were moderately weaker overnight with EU inflation data leading the way. Domestic data at 8:30am added to weakness with just 5 minutes of serious selling that ended at 8:35am. 10yr yields hit their 3pm closing mark almost exactly in line with those 8:35am levels (4.075). MBS ended up outperforming throughout the day and almost made it back to their pre-data levels--at least when we look at 5.5 coupons.
Econ Data / Events
Jobless Claims
190 vs 195 f'cast, 192 prev
Q4 Unit Labor Co
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