October Chicago PMI comes in better than expected at 43.8

Group 1 - Chicago's October PMI reading is 43.8%, better than the expected 42.5% and the highest since July 2023, although it remains in contraction territory for the 23rd consecutive month [1][2] - The previous month's final PMI reading was 40.6%, indicating a sequential improvement [2] - The last month of expansion was November 2023, when the PMI was above 50 [2] Group 2 - Current yields on 10-year bonds are down two basis points for the day but up eight basis points for the week, while two-year bonds are up 11 basis points for the week [3] - Yields on these maturities are higher than before the September 25 basis point cut, suggesting market reactions may not align with Fed rate cuts [3]