One dealer reports the some interest in the WI 7 year on roll and the offered side is now the bid side. Another dealer reports some hedge fund and relative value players looking for ways to buy 7s vs the wings. The same fellow avers that while that is a nice development that flow will not carry the day and honest to God end users will need to show up for auction to be successful.
Chicago PMI just printed slightly lower than last month but above forecast. Most of the component pieces but the employment piece rose to a robust 60.9 from 57.7. The index itself has averaged 54.1 over the last six years and at today’s 63.1 it is still quite elevated relative to recent experience.