We had an abundance of bad economic news this morning, which should have caused rates to improve. Retail Sales, Industrial Production and Empire Manufacturing all significantly missed their mark, yet bonds sell off. It is very difficult to read an irrational market. Interest rates have gotten worse today when they really shouldn’t have. Why? Today is Day 1 of the Fed meeting. Tomorrow we’ll hear their written statement to see if they hike rates or not. Most folks believe that they should, but won’t. Stay tuned.
