Stocks and Bonds Fall while MBS Bonds Plummet

Today was one of those rare days when stocks and bonds trade in the same direction.  Unfortunately for both the direction was down.  The biggest loser was the MBS market which saw its 4.0% coupon bond try to hang on the lowest leg of the down elevator before down another leg late in the session.  The impetus for the fall was the minutes of the Fed meeting which pointed toward more rate hikes this year.  The Dow lost 166 points on the day.