10yr futures contract volume was roughly 600k by 3pm.  That’s on par with the typical half day meaning today was the lowest volume full trading day of the year.  Tomorrow will be even lower.  Neither day was likely to be consequential.  There was a smattering of econ data this morning but no reaction for bonds.  The only action on the day consisted of slightly better buying at the CME open (after 8:20am ET) and slightly better selling after the NYSE open (9:30am ET).

  • Fed MBS Buying 10am, 11:30am, 1pm

  • GDP (q3, final) 2.3 vs 2.1 f’cast, 2.1 prev

  • Consumer Confidence 115.8 vs 110.8 f’cast, 111.9 prev

  • Existing Home Sales 6.46 vs 6.52 f’cast, 6.34 prev

08:33 AM

Stronger at the start of the overnight session, flat in Asia, and modest selling in Europe.  10yr up less than 1bp at 1.475, and MBS down only 1 tick (0.03).

10:22 AM

Selling pressure since the 9:30am NYSE open.  Stocks at highs.  10yr up half a bp at 1.472.  MBS down 1 tick (0.03).

12:43 PM

Back in positive territory heading into the PM hours, but just barely.  MBS currently unchanged at 101-31 (101.97) and 10yr down .7bps at 1.46.

03:49 PM

Coasting out on a flat and boring note.  MBS up 2 ticks (0.06) now at 102-01 (102.03). and 10yr still at 1.46.