Want something to be thankful for? Try the bond market's new-found niceness.
With just a day to go before tomorrow's holiday gorging, the fixed-income folk were in a noticeably festive spirit. The normally petulant crew, who could find the bad side in a sunny day ("You'll get cancer from all those UV rays!"), brushed off a morning full of bond-negative news. Joblessness is falling -- only 303,000 folks looked for assistance last week, less than the 321,000 expected; and manufacturing, at least according to the Chicago purchasing management report, is rising.
The economy, in short, looks poised to shake off the Asian flu. More workers, more work, more money. More of everything.
All this, of course, should be antithetical to the don't-let-the-good-times-roll crowd. But by the end of the day, the 30-year Treasury bond had risen 7/32, pushing the yield down to 6.05%.
"At this point, they're pretty optimistic as to what this means to the economy and the bond market," says Patrick Kennedy, who manages bonds at
in Jenkintown, Penn. "Any bad news
what the Average Joe would think of as good news is getting ignored."
To be fair,
durable goods orders
-- orders for stuff we'll keep for a year or so -- were pretty sedate. Orders dropped 0.3%, as opposed to the expected rise of 0.6%.
Plenty to be thankful for tomorrow. With the market's closed for the holiday, no economic reports will be released.