Updated on January 19, 2017 10:52:18 AM EST
Yesterday afternoon’s release of the Federal Reserves Beige Book wasn’t the cause of the late bond selling, but it didn’t do anything to stop it either. Bonds were always sliding lower by the time the report was posted at 2:00 PM ET. Unfortunately, what the report showed only contributed to the selling and upward move in rates. The release revealed that prices rose in many regions since the last update, fueling the theory that inflation is ramping up. It also indicated that the labor market remained tight in most Fed regions. Neither bits of info came as a significant surprise, although both are negative for bonds and mortgage rates.