5 Minutes of Selling, Then Sideways All Day Bonds were moderately weaker overnight with EU inflation data leading the way.  Domestic data at 8:30am added to weakness with just 5 minutes of serious selling that ended at 8:35am.  10yr yields hit their 3pm closing mark almost exactly in line with those 8:35am levels (4.075).  MBS ended up outperforming throughout the day and almost made it back to their pre-data levels--at least when we look at 5.5 coupons. Econ Data / EventsJobless Claims190 vs 195 f'cast, 192 prev Q4 Unit Labor Costs3.2 vs 1.6 f'cast, 1.1 prev Market Movement Recap08:50 AM Gradually weaker overnight with twice as much selling after the 8:30am data.  10yr up 8bps at 4.075 and MBS down half a point. 12:25 PM Sideways and choppy after initial losses.  MBS down 10 ticks (.31) in 5.5 coupons (the half point loss in the AM was in 5.0 coupons).  10yr up 9bps at 4.083. 02:28 PM Fairly flat since initial selling spree.  MBS still down 10 ticks (.31) and 10yr now up only 7.5bps at 4.069.