Strategist: GDP data signals mixed, causing bond market fluctuations

A market strategist at Chicago's DRW Company said, "When you see a 2.5% decline in final sales, excluding inventory data, in GDP, you need to understand that this is a very weak number. This is the weakest since the onset of the pandemic, and before that, you have to go back to 2009 to find a quarter with weaker actual final sales. So I think this may have been the initial reason for the bond rally, but upon reconsideration, they may focus on inflation indicators, GDP deflator index and core personal consumption expenditures index, both of which are significantly higher than expected. Therefore, this report has had a bit of a push effect on the bond market."