11/12/09

Good morning. I hope you had a nice Veteran’s Day holiday. Fixed-income markets, which were closed yesterday in spite of the equity markets being open. The results of the 10-year note were “solid”. The auction came slightly below average.
Today we will have a $16 billion 30-yr bond auction (currently at a yield of 4.40%). We have already found out that Jobless Claims fell for the second week in a row and the four-week moving average of claims was the lowest in nearly a year. After the news we find our friend the mortgage rates roughly unchanged.