It ended up being a good round trip for rates today. Monday kicked things off with a jump to the greatest level in more than a month, and the third greatest given that August 2025. But that ended up being the only day where rates went higher.
Wednesday brough the biggest piece of the healing with MND’s everyday rate index dropping 0.10%. Tuesday and Friday (today) each included a 0.02% drop, taking the index to 6.42% after ending last week at 6.44%.
War-related headlines were less of an element today and volatility was unsurprisingly lighter as an outcome. This is a modification for seasoned rate watchers who are utilized to regular monthly jobs report being an unique source of volatility. It’s particularly notable that the task count came in substantially higher with no ill result on bonds/rates.
Over the previous 6 months, markets have actually moved their jobs report focus from the payroll count to the joblessness rate, reversing decades of precedent. Today’s outcome is more rational because context as the unemployment rate was right in line with expectations at 4.3%.