Simple, Strong Correlation With Oil Leaves Yields Lower
Mon, Mar 16 2026, 3:24 PM
Simple, Strong Connection With Oil Leaves Yields Lower
There’s no sense in overcomplicating today’s trading session. Oil was down considerably and so were bond yields. The connection was really strong after 4am ET with each significant peak and valley aligning. Econ data existed, but not an appropriate consideration for trading. Stocks were also part of the connection game however in a completely inverted way (peak in oil/yields = valley in stock rates). Simply put, both sides of the market remain transfixed by energy costs. This hasn’t been the special market mover in March, however it’s certainly been the dominant consideration, and that was double real today.
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- NY Fed making
- -0.2 vs 3.2 f’cast, 7.1 prev
- NY Fed making
08:37 AM
Reasonably stronger overnight with additional gains in early domestic trading. MBS up a quarter point and 10yr down 4.6 bps at 4.232
12:22 PM
MBS still up a quarter point and 10yr down 4.1 bps at 4.237
02:56 PM
Best levels of the day with MBS up 11 ticks (.34) and 10yr yields down 6bps at 4.218
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