Why Are Bonds Surging This Morning?

Bonds were modestly and inconsequentially stronger in the overnight session. By 8am, this brought 10yr yields just under 4.30%.  Less than an hour later, yields fell to 4.23 and MBS rose over 3/8ths of a point on a trio of headlines. The first was a detail from a proposed plan to end the war (involving unfreezing Iranian assets in exchange for Uranium). The second was a notification about negotiations in Islamab…