1-20-2026 Bonds are “Breaking the Habit”
———————-
Memories consume the breaking of the wound
It’s picking bulls apart again.
The bears won Friday in Treasuries, while mortgages remained steady as they await details on GSE buying. The chatter over Fed independence is irrelevant. The Fed follows Bonds. And when they run their failed experiments, like Quantitative Easing, who holds them accountable? Only the bond market.
Expect the 10-year yield to find buyers between 4.25 and 4.35. The global questions around war, growth, and inflation remain, yet volatility measures are low.
Bonds know it’s not alright. So, they’re breaking the rate range. They’re breaking their habit out right.
These views are mine. Understand breaks at TMSpotlight.
———————-
Song: Breaking the Habit (2003) Linkin Park
Les Parker, CMB Managing Director, Transformational Mortgage Solutions
Les Parker is the Managing Director at Transformational Mortgage Solutions Advisory Board Member for Ainsworth Advisors; and has served as the Senior Vice President of Industry Relations and Consulting at LoanLogics, a technology and services provider focused on improving mortgage loan quality, performance, and reliability throughout the loan life-cycle. His responsibilities included managing the company’s life of loan analytics and monitoring capabilities, overseeing consulting services, contributing to the strategic planning team, and communicating with industry leaders to develop and maintain positive relationships. He focused on identifying threats and strategic opportunities. Parker has executive mortgage banking experience in capital markets, servicing, operations, production, and financial management. Parker has served as director of the largest private issuer of CMOS. His educational background covers music, religious studies, mortgage banking, mathematics, and business administration. Parker holds a BBA in Finance, and other degrees, and has held numerous securities licenses. Parker is a Master Certified Mortgage Banker, a designation conferred by the Mortgage Bankers Association. Parker writes, speaks, and provides audio content, Since the late 1980s, he publishes a daily newsletter connecting global macroeconomics to the US interest rate movement.