Patti Domm is CNBC executive news editor, responsible for news coverage of the markets and economy. Prior to joining CNBC in 1999 as senior news editor, Domm was the equities editor for the Americas at Reuters. She was also Wall Street editor at Reuters, reporting on mergers, acquisitions and the Street. She also edited three CNBC books on personal investing. Domm serves on the board of the Financial Womens Association of New York.
The Treasury market took the government's latest 7-year note auction in stride, compared to Wednesday's wild action.
The stock market is watching the bond market, wary a spike in interest rates will derail a fragile economic recovery and snuff the market's rally.
"It's a 'show me' period, but the expectation is that the data is going to disappoint, as it mostly has for the last few weeks," said Binky Chadha, chief U.S. strategist at Deutsche Bank.
Stocks start Wednesday in what could be a low volume walk up to the three-day Memorial Day weekend. With the absence of much other news, traders this week have been looking over their shoulders at the credit markets, where a rush of new debt issuance is flashing positive signs for the economy.
Wall Street's bears were trampled Monday, but traders say it's just a matter of time before they fight back. Once more, the market's disbelievers were proven wrong. Stocks raced 3% higher, as commodities rose, bonds sold off and the dollar and yen weakened.
With the U.S. stock market in an extended funk, earnings offer at least a temporary escape route.
Bullish case made for oil's drop on fourth-quarter results.
Lower gas prices and better employment numbers could have been factors in better guidance from retailers.
The bond market seems to have heard a dovish undercurrent in the Fed minutes, while stock traders seem to think they got the Fed's message right.
Patti Domm is CNBC Executive Editor, News, responsible for news coverage of the markets and economy.
A CNBC reporter since 1990, Bob Pisani covers Wall Street from the floor of the New York Stock Exchange.
CNBC's Senior Personal Finance Correspondent
JeeYeon Park is a writer for CNBC.com. Follow her on Twitter: @JeeYeonParkCNBC
Rick Santelli joined CNBC Business News as an on-air editor in 1999, reporting live from the floor of the Chicago Board of Trade.
Senior Producer at CNBC's Breaking News Desk.