Markets stayed in a tight range yesterday, and continue to do so this morning. Investors are waiting for the conclusion of this month’s FOMC meeting, with a policy announcement tomorrow at 2pm ET. The big Jobs report is scheduled for this Friday as well, and any significant disappoint will continue to pressure the Fed for some type of QE3 action soon. Today’s economic reports are sending mixed signals, with Personal Income slightly increasing and spending at 0%. However, Consumer Confidence came in higher than expected showing that the ones at the buying level are feeling better than anticipated. The Case Shiller survey showed single family home prices rose in all 20 areas the report covers. Between the positive and negative data, mortgage bonds have recouped much of their losses from last Friday, and continue to keep interest rates close to their lowest levels ever seen. We will continue a locking bias for short term transactions.