Bond markets bounced back from a weaker morning trading session to end the day largely unchanged.  The selling began at 3am, shortly after the start of the European session.  From there, Treasury--and eventually MBS--weakness had a mind of its own.  Yields rose with linear determination, regardless of data or fluctuations in stocks or oil prices or anything else that has recently had an impact on bond markets--anything except corporate bond issuance, that is.

In other words, the overnight and early morning pressure was in anticipation of the growing corporate debt pipeline.  The pressure abruptly reversed course heading into the noon hour as news circulated that the largest deal of the day had been unexpectedly pulled due to market conditions.  We discussed this in much greater detail in the Mid-Day, if you missed it.

Beyond that, keep in mind that tomorrow afternoon brings the minutes from the most recent Fed meeting (the one that surprised markets at the end of October and kicked off the past three weeks of pain for rates).  If there are any market participants out there who haven't head internalized the Fed's message, it could be a market mover (because the minutes will probably spell things out fairly clearly).