Bond Bubble Watch: Pop! Bonds Down, Stocks Up on Data

bubble 2 Bond Bubble Watch: Pop! Bonds Down, Stocks Up on DataAfter rising for two days and enjoying a burning-hot August, the bond market is undergoing a pullback today, thanks in part to a better-than-expected manufacturing report from the Institute for Supply Management and rosy numbers out of China’s manufacturing sector. Contrary to Wall Street superstition, the stock market is enjoying a nice rally on its first September outing.

The August ISM manufacturing index came in at 56.3, up from 55.5 in July, registering its 13th straight month of growth. Anything above 50 is a signal that the manufacturing sector is growing.

The benchmark 10-year Treasury note was lately down 1 0/32 and yielding 2.59 percent. The 2-year was down 2/32 to yield 0.50 percent.

Previously: Treasuries Jump on Housing Data, Analyst Says Sovereign Defaults Coming Soon.

Article continues below
More from Politics
(FILES): These two file photos show then Labor Secretary Thomas Perez (L) speaking to reporters about the minimum wage for federal contractors at the White House in Washington, DC, on Feburary 12, 2014; and Minnesota Democratic Congressman Keith Ellison (R) during a press conference about Islamophobia at the National Press Club on May 24, 2016 in Washington, DC.


US Democrats, licking their wounds from last year's election debacle, will pick a new leader on February 25, 2017 to take the fight to President Donald Trump and his Republicans. The race to chair the Democratic National Committee (DNC) features front-runners Tom Perez, a Hispanic-American and former secretary of labor under Barack Obama who is the establishment pick, and Keith Ellison, a black Muslim congressman from the party's progressive wing who has left open the prospect of pushing to impeach Trump. / AFP / Mandel NGAN AND Brendan SMIALOWSKI        (Photo credit should read MANDEL NGAN,BRENDAN SMIALOWSKI/AFP/Getty Images)
Sanders 2020 Just Became Much More Likely With Tom Perez as DNC Chair