Modest Weakness, But Range Persists

Bonds lost ground today, but not for any particular reason. Most importantly, there was no major reaction to the lack of progress in peace talks over the weekend (which would have been hard considering the talks didn't happen). Earlier in the war, this sort of development would have had a more noticeable impact. At this point, markets are waiting on the biggest news. Until that news breaks, bonds are content to wander aimlessly in the same sideways range that's been intact for the entire month. For those who insist on assigning blame for today's modestly higher yields, the absence of peace talks was worth maybe a third of it. Beyond that, we'd consider things like the Treasury auction cycle and asset allocation among investors chasing all-time highs in stocks.