• Retail Sales
    • 0.1 vs 0.2 f'cast
    • last month revised down to -0.2 from 0.0

Bonds were unchanged overnight and in position to move in either direction in response to this morning's retail sales data.  Despite what looks like a modest 0.1 miss, the bond market reaction has been fairly big with 10yr yields dropping nearly 5bps before leveling off with a 4bp gain at 4.242.  MBS are up nearly a quarter point.