Holiday-Adjacent Waiting Game

Holiday-Adjacent Waiting Game Monday may not have been an official holiday for the U.S. bond market, but it way as well have been. Volume certainly acted the part, which is no surprise considering overseas holiday closures. Headlines and data had a limited impact, at best. In general the market is waiting to see what happens in Iran after tomorrow night's deadline on Trump's ultimatum to reopen shipping channels. Econ Data / Events ISM N-Mfg PMI (Mar) 54.0 vs 55 f'cast, 56.1 prev ISM Services Employment (Mar) 45.2 vs -- f'cast, 51.8 prev ISM Services New Orders (Mar) 60.6 vs -- f'cast, 58.6 prev ISM Services Prices (Mar) 70.7 vs -- f'cast, 63.0 prev Market Movement Recap 09:03 AM A hair weaker overnight but rallying into positive territory in early trading. MBS up 6 ticks (.19) and 10yr down 1bp at 4.332 01:05 PM MBS up 6 ticks (.19) and 10yr down 0.7bps at 4.334 03:05 PM MBS up 6 ticks (.19) and 10yr down 1bp at 4.331