The AM So Far...
- CPI Results
- UNCHANGED ( SAME AS CONSENSUS), EXFOOD/ENERGY +0.1 PCT (CONSENSUS +0.1 PCT)
- YEAR-OVER-YEAR -2.1 PCT (CONSENSUS -2.0 PCT), EXCLUDING FOOD/ENERGY +1.5 PCT (CONS +1.6 PCT)
- ENERGY -0.4 PCT, GASOLINE -0.8 PCT, NEW VEHICLES +0.5 PCT
- YEAR-OVER-YEAR DROP LARGEST SINCE JAN 1950 (-2.1 PCT)
- CORE CPI YEAR-OVER-YEAR RISE SMALLEST SINCE FEB 2004 (+1.2 PCT)
- 4.5's up 7 ticks to 99-30, 10yr Tsy up 13 ticks to 100-19 --3.556 yield
- MBS and Tsy's were slightly improved even before the data and the effect is not significant at this point
- Still, the fact that Bonds advanced at all following an inflation reading (something Ben just told us again would be a non-issue) suggests a fledgling return to "actually caring about market fundamentals"
- Could we imagine a world without "Day Trader's Paradise?"
- Well, we COULD, but c'mon... No more songs?
Recap of Previous Session
- Nice rally yesterday on data and 30 yr auction, even as stocks mustered gains by the end of the day.
- what else?
In The Time It Takes To Type... (NEW!)
Returning to pre-data levels, perhaps slightly higher in tsy futures... MBS and 10yr holding initial moderate gains, but nothing major (yet...)
MBS Market Alerts
