There continues to be very little to discuss in terms of interesting, relevant market developments this week.  Chalk this up to the theme we've discussed incessantly regarding markets leveling-off and avoiding any sudden movements ahead of next week's Fed Announcement.

Within the confines of the narrow range created by said theme, we've still seen some volatility here and there.  It's mostly been a factor of oil and stock price fluctuations, with the Treasury auction cycle having a secondary effect.  Yesterday the auction served as a sort of flood-gate that held bonds back from joining in on a move away from risk (i.e. sell stocks, buy bonds).

Today's suggestions from oil and stocks have been far less bond-friendly by comparison.  While oil opened and traded lower initially, bonds didn't follow for the same reasons they didn't follow yesterday's initial move (waiting for the auction).  To make matters worse, the initial weakness in oil never materialized into the sort of selling-spree seen yesterday.  In fact, both oil and stocks were giving more supportive cues than anything.  As such, bonds have been in a steady trend toward weaker levels, but remain very much contained inside the recent pre-Fed range (marked by 2.20 to 2.24 in 10yr yields).