5/26/10

Overall the news yesterday helped bonds: continued European fears, the Euro hitting an 8-year low versus the yen, Korean fears, the Case-Shiller index lower, Consumer Confidence slightly higher. We also had a 2-yr auction, which is now under water. At one point the DOW was down over 300 points.
Later this morning we will have New Home Sales for April, expected to increase. We also have a 5-yr auction, which typically goes pretty well and Durable Goods came out at +2.9%. But ex-transportation the number was down, so cars and planes played a big role in this number.