Many fixed income contracts struggled to recover even half of the decline from last Thursday in the third session since.

The inability to hold that ground into settlement is telling of the lack of conviction by the bullish contingency which benefited from the weaker New Home Sales data released earlier. The 5-year Treasury auction today fairly matched the auction last month median yield 1.70% v. 1.699% respectively). The median yield is as high as it has been since May 2011.