Market Analysis

US Treasuries are improved this morning but mortgage backed securities issued by Fannie Mae and Freddie Mac are unimproved and have a slight negative bias. 

In economic news, Initial Jobless Claims for the week ended 6/26 were up to 472,000 vs expectations for a 458,000 number.  Continuing Claims for the week ended 6/19 were up to 4.616 million vs expectations for a drop to 4.510 million.  The Institute of Supply Management (ISM) manufacturing sector index for June fell from a May level of 59.7% to 56.2% vs expectations for a 59.0% reading (anything over 50% reflects expansion).