Fierce Determination to Stay Sideways

It’s been another uneventful session so far with trading levels for MBS and Treasuries both holding inside yesterday’s ranges.  Treasuries were slightly stronger overnight but moved back to unchanged levels just before the domestic session opened.  While the headline on the Durable Goods report was economically bullish, the internal components more than offset it.  It ended up being a net-positive for fixed-income, as did the weaker Consumer Sentiment reading.  The positivity is fiercely moderate, however, as it merely serves to maintain a sideways range overall since Tuesday’s post-NFP rally.