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Mueller Headlines Help, But Only to Restore Bonds to Narrow Range

Bond markets were at the weakest levels of the day just before headlines hit regarding a Mueller subpoena of the Trump organization, as covered by the NYT HERE.

This wasn't much of a market mover, but it was clearly the culprit.  Stocks sold-off ever so slightly and bonds returned in line with their previous range.  Notably, however, bonds didn't make any additional gains beyond the middle of said range.  MBS are a bit of an exception as they are in slightly positive territory near their highs of the day owing to extra pressure on Treasuries from corporate bond issuance.

Looking at bonds through anything other than a super short-term lens, and today is effectively 'unchanged' on all fronts.

Any negative reprice risk that had been building earlier in the day is now off the table.

MBS / Treasury Market Data

UMBS 5.0
99.37
+0.02
UMBS 5.5
100.76
+0.02
2 YR
3.9165
+0.0020
10 YR
3.9068
+0.0029
Pricing as of: 9/1 7:34PM EST
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