In 15 years of MBS Live, this may be the first time French CPI made a headline, but today, it's deserved. It's not so much that France is a critical bellwether for global inflation as much as it's emblematic of the market's ravenous thirst for any inflation bellwethers as the new year gets underway. Yesterday it was Germany, today's it's France.

The data came out at 2:45am ET and the reaction in the EU bond market is readily apparent.  US Treasury futures volume also clearly showed a response, as did yields themselves, albeit on a smaller scale.  There was a bigger response to the JOLTS data at 10am (which surprisingly superseded the ISM Manufacturing data out at the same time).