Both the stock markets and bond markets are down today.  When bond prices are down, yields/rates move up. In economic news, initial jobless claims for the week ended 5/2 dropped by 34,000.  Analysts had been expecting an increase in claims of 6,000.  1st quarter labor costs rose 3.3% vs an expected 2.5% increase.  This afternoon after the markets close the Treasury department will announce the results of the stress tests.  Most of the data appears to have been leaked to the press already.  The general reaction among the investment community has been that the banks are in better than expected shape.  Tomorrow April's non farm payroll #s will be released.  Analysts are expecting that 620,000 jobs were shed in April.  A # that comes in significantly lower than projections will most likely push rates higher.  A # that comes in much higher than projections could cause a test of the 8400 level that the Dow has maintained this week which could support improvement in the bond market.  At this point it is not clear that rates would move lower than the 4.375% level on the 30 year fixed,  but possibly points for a given rate would decrease.