Mid Day Reversal Leaves Bonds Slightly Stronger

Mid Day Reversal Leaves Bonds Slightly Stronger

This morning, we noted the lightness of the selling pressure that took bonds into modestly weaker territory. It turns out it was so light that it was easy for bond buyers to get back on top un the afternoon hours. There was a bit of help from the Fed’s much-anticipated announcement of a change to banking rules that will effectively allow banks to hold more Treasuries than before.  This wasn’t a big…