But, once the deal printed some downside pressure was taken off into midday as the fast money reduced some of their short-positions into weekend. Jun 10-year notes bounced from 101-29 Thursday lows, but closed -1/32 at 102-14. They found little upside traction despite the stock index heaviness for the third consecutive session. The wings of the curve outperformed the belly in line with supply, weaker stocks and a Fed coupon pass at the long-end. The 2-year note and 30-year bond spread narrowed two basis points to 211 basis points after dipping as deep as 207 basis points during the session.
Dallas Fed's McTeer apparently steered away from policy, the economy and political correctness.