Yields JOLTed Higher, Stocks Lower Ahead Of Fed/Treasury

Higher-than-expected job openings from the JOLTS survey lifted bond yields (optimistically) today but the real story was in the quits – which dropped to pre-pandemic levels (suggesting “workers’ willingness of ability to leave jobs” is considerably lower (i.e. labor market not strong). You can decide which is more ‘real’.

Home price appreciation slowed, according to Case-Shiller; but consumer confidence ripped with ‘current conditions’ hitting the highest since pre-COVID-lockdowns.

The short-end underperformed with notable bear flattening in the curve. The long-end actually rallied on the day (30Y -4bps)…

Source: Bloomberg

In the meantime, ‘soft’ survey data continues to trend lower as ‘hard’ economic data is reignited…

Source: Bloomberg

… by the massive loosening of financial conditions…

Source: Bloomberg

But most notably, this is where the week gets really exciting with tonight’s GOOG/MSFT earnings, tomorrow’s Treasury AQR details, then FOCM and so on.

The Dow managed gains on the day with the S&P 500 unchanged while Nasdaq and Small Caps in the red…