Stocks Climb, Bonds Fall on Economic Plans

The Dow is up almost 300 points in late trading today following a brutal dank for markets and especially trading in large banks yesterday. Treasury and mortgage bonds are selling off significantly to fund the rally.

The stock news is mostly sentiment as there’s really no solution just the perception that the Obama is hitting the ground running with his economic team on Day 1. Tomorrow, we’ll run another report on the weekly mortgage bond purchases by the Fed. Overall mortgage bonds are down this week, which has pushed mortgage rates higher.