Less Volatility For Bonds (For Now)

As the week winds down, a potentially scary shift into a steeper rising rate trend seems to be averted, for now.  Today’s trading was a bit weaker, but yields nonetheless held in line with yesterday’s highs.  The 30yr bond auction passed with minimal reaction and the same can be said for the staggeringly high PPI number this morning (core y/y at 6.2 v 5.6 f’cast).  Bottom line, after a strong NFP in the previous week,…