After failing to break 100-14, the floor fell out from underneath the FN 4.5. Prices have found their way back to yesterday's low print. ALL PROGRESS HAS BEEN LOST.

In the Treasury market, 10s finally found support at 3.84%....although rates fell considerably after the NFP release, there was no range breakout. 3.84% should bring out bargain buyers.

In stocks, S&P futures bounced at 1132 positional support and are now testing the lower limits of the recent sideways trend channel.

RATE SHEET REBATE WILL NOT IMPROVE. MORTGAGE RATES WILL HOLD NEAR YESTERDAY'S LEVELS

FROM THE WHITE HOUSE VIA CHRISTINA ROMER:

10:05 08Jan10 RTRS-U.S LABOR REPORT CONSISTENT WITH GRADUAL LABOR MARKET STABILIZATION - WHITE HOUSE'S ROMER
10:06 08Jan10 RTRS-REPORT SHOWS TREND TOWARD MODERATING JOB LOSSES CONTINUING - ROMER
10:08 08Jan10 RTRS-UNEMPLOYMENT RATE STILL UNACCEPTABLY HIGH, UNDERSCORES NEED TO JUMPSTART JOB CREATION - ROMER
10:08 08Jan10 RTRS-ROMER SAYS IMPORTANT NOT TO READ TOO MUCH INTO ONE MONTHLY JOB REPORT