As has been necessary since the beginning of June, any volatility we experience during the day is forced to occur within 'the range.'  That was the case again today.

After yesterday's fairly quick late-day sell-off, bond markets came out of the gate stronger in today's session.  Ebbing home price data didn't stand in the way of further improvements in the morning, but neither did they inspire any real movement. 

The 10am data was better suited to provide some motivation.  Significantly stronger New Home Sales data sent bond markets toward weaker territory, but due to yesterday's late weakness, they never officially crossed the line. 

It wasn't until the afternoon when headlines began circulating on a Syrian air strike in Iraq that rates and equities moved lower together in more-or-less a classic flight to safety (albeit on a small scale). 

10yr yields never challenged the 2.57 range boundary and Fannie 3.5s never made it above yesterday morning's highs.  That said, most lenders saw enough gains to offer positive reprices by the end of the day.