Fundamentals Weaker. Treasuries Rally on Uncertainty.

Redbook Chain Store Sales (week ended 1/3/2015)

– Store Sales year/year  +4.3%. Previous was +5.4%

 
PMI Services Index (December 2014)

– Level 53.3. Previous was 56.2

 
Factory Orders (November 2014)

– Factory Orders month/month  -0.7%, Previous was -0.7%

 
ISM Non-Manufacturing Index (December 2014)

– Composite Index Composite Index   56.2. Previous was 59.3

Treasuries are rallying because of global uncertainty.  Issues are EU/Greece and the effect of plummeting crude prices. We will see the 10-year yield fall through the previous low
of this bull cycle.  That was 1.87%,