So in the absence of domestic data we break the range. Go figure. The 8:00 open continues the overnight strength, 8:20 has held on. The 10 year indicating a 2.36 open. After resisting a break of 2.38 several times yesterday it looks like good beat out evil, at least for now. As I’ve mentioned we’re around a pretty big pivot here. Cue chart for your viewing pleasure.
As we’ve discussed Feb has been a pretty bond friendly month and so far 2017 is no exception. But with the 2015 10 year closing level of 2.35 looming, we’re faced with the decision to float on a major break or lock at the bottom end of the current range. You know how I feel about those sort of decisions.
On a somewhat related note, if you need further proof that less is more, rates were down last week, so apps were up according to the MBA.
On an altogether unrelated note, I haven’t followed through with my New Year’s resolution of trimming down, so on the other hand maybe more is less.
For those who like hashtags: #lowerforlonger #lessismore #newyeargoals #goodbeatsevil #moreisprobablynotless