Continued jobless claims dropped to the lowest level since October 2024 and bonds are selling off a bit. Those two things may seem like they're clearly connected, but the selling didn't start for another 15 minutes after the data and the most noticeable selling has taken place in the past 15 minutes (almost a full hour after the data). As for a scapegoat for that selling, there's only conjecture. We can see surging commodities prices coinciding with Treasury sales, but we wouldn't leap to the assumption that traders are selling bonds to buy commodities. In any event, the damage is fairly limited in the big picture. One could simply say this is an ongoing rejection of 10yr yields re-entering the previous trading range.
Bonds Shake Off Mid-Day Weakness to Hold Mostly Steady
Bonds Shake Off Mid-Day Weakness to Hold Mostly Steady
Bonds took a break from their recent trend of moderate day over day movement to hold relatively steady on Wednesday. Econ data didn’t get in the way in any…