Although there are only four trading days in the week ahead, they bring a far more venerable lineup of economic data compared to last week.  This coincides with technical developments in bond charts that are "interesting," to say the least.

The technical considerations aren't complicated either.  Overhead, we have the former floor for most of the post-election trading range in bond markets: 2.30% (specifically 2.305%, but anything around 2.30 is functionally equivalent when it comes to long-term tracking).

Underfoot, there's the important 2.15-2.17% zone.  This "gap" was first created in the days following the election when rates jumped higher.  Such gaps stand a good chance to play important roles in the future.  This particular gap already had one chance in mid-April when it served as a floor for lowest rates of 2017.  

The current week begins with yields just one solid rally or one brisk sell-off away from either of the aforementioned technical zones.  Economic data could play a part in deciding which one we visit.  There are several important economic reports, with Friday's NFP being the perennial heavy hitter.  Beyond that, the month-end trading environment can generate plenty of volume and volatility on its own (tomorrow is the last day of May... yes, already).  

2017-5-30 open


MBS Pricing Snapshot
Pricing shown below is delayed, please note the timestamp at the bottom. Real time pricing is available via MBS Live.
MBS
FNMA 3.5
103-03 : +0-01
Treasuries
10 YR
2.2377 : -0.0123
Pricing as of 5/30/17 8:47AMEST

Tomorrow's Economic Calendar
Time Event Period Forecast Prior
Tuesday, May 30
8:30 Consumption, adjusted mm (%)* Apr 0.4 0.0
8:30 Personal income mm (%) Apr 0.4 0.2
8:30 Core PCE price index yy (%) Apr 1.6
8:30 PCE price index mm (%)* Apr -0.2
8:30 Core PCE price index mm (%)* Apr 0.1 -0.1
9:00 CaseShiller 20 yy (% ) Mar 5.7 5.9
10:00 Consumer confidence * May 119.8 120.3
Wednesday, May 31
7:00 Mortgage Market Index w/e 416.2
9:45 Chicago PMI * May 57.0 58.3
10:00 Pending sales change mm (%)* Apr 0.3 -0.8
10:00 Pending homes index * Apr 111.4
Thursday, Jun 01
8:15 ADP National Employment (k)* May 180 177
10:00 ISM Manufacturing PMI * May 54.6 54.8
10:00 Construction spending (%)* Apr 0.5 -0.2
10:00 ISM Mfg Prices Paid * May 67.0 68.5
Friday, Jun 02
8:30 Non-farm payrolls (k)* May 182 211
8:30 Private Payrolls (k)* May 173 194
8:30 Unemployment rate mm (%)* May 4.4 4.4
8:30 Manufacturing payrolls (k)* May 5 6
9:45 ISM-New York index * May 738.0