Good Friday AM,
Bonds are behaving in a very peculiar manner but in a good way. Retail Sales came in strong enough to drive the Dow up over 600 points. This historically would drive bond prices down, but it isn’t. Between PPI, CPI, and now retail sales all coming in hot this week, the fact that bonds have held as firmly as they have is a gift. Now, we did have a slew of other economic news, and it was almost exclusively (other than retail sales), bond friendly. The ten-year yield is currently poking its head below the pennant formation. This could lead to a strong move down to 2.70%
Please remain safe and stay healthy, enjoy the weekend and first, make today great!