The small decline in the Chicago PMI to 63 comes after October's big jump to a 31-month high of 65.9. "Having kept inventories lean for so long, a pick-up in demand has led to a sharp rise in stock building among the companies in our panel. And to handle the latest production and new orders boost, companies are hiring at the fastest pace for two years,” says MNI Indicators' Philip Unglow.
The data combined with a better-than-expected print on Consumer Sentiment is enough to send Treasurys into the red for the session, TLT -0.2%, TBT +0.4%. The 10-year yield gains 3 basis points to 2.74%.