This morning is off to what could potentially be described as a "weird" start.  If it's not weird, it's at least interesting.  Why weird?  Bonds rallied after jobless claims came in at 198k versus a forecast of 212k and a previous reading of 211k.  Anything near or under 200k speaks to a very tight labor market.  Moreover, this is the claims data that aligns with survey week for the next NFP number.  In other words, bonds should have sold off.  One of the few ways to justify the rally would be to observe 10yr yields hitting 4.983% about half an hour before the data.  There has certainly been increased chatter about 5% 10yr yields representing a buying opportunity and it's possible some of that buying was underway as the claims data came out.

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