I am confused that on a continuous basis Fed folks claim to be data dependent yet when the ‘have the stage’ they say rates need to be higher (or lower) – are they data dependent or not? Yesterday Cleveland Fed President Mester said rates need to go above 5% and stay there for some time–I guess she has a super crystal ball and knows future data better than anyone else. Oh well these folks have shot their mouths off for years and they aren’t likely to stop anytime soon–all I can say is ‘we’ll see’.
How about the 10 year treasury yield–off 10 basis points today to be trading around 3.32% – down 17 basis points from last Fridays close. Of course we are in a period of time where preferreds and baby bonds don’t move in lockstep with interest rates–over time they will, but we have too many other influences that are driving prices up and down.
The ADP jobs numbers were soft today coming in at 145,000 new jobs created in March versus 261,000 forecast. Does any one really care? Not me because these numbers have had little correlation with the ‘official’ jobs numbers (which come out on Friday) – not sure why these still make the news each month – guess CNBC has to fill air time.
I don’t plan to do a thing today–as far as buying or selling, mainly because I need to head out the office soon and won’t be back until markets close–but my GTC orders will be there for anyone who wants to sell me some shares at a wholesale price.