Rates inched higher Monday as a rally in stocks hurt mortgage-backed securities. This morning, Federal Reserve Chairwoman Janet Yellen told a conference on community investment in Chicago that “The existence of such a large pool of ‘partly employed’ workers is a sign that labor markets are worse than indicated by the unemployment rate” and that the Fed’s “extraordinary commitment” to ultra-low interest rates is “still needed, and will be for some time”. Investors reacted by redirecting funds from bonds to stocks. In economic news, the Chicago Purchasing Managers Index fell to 55.9, far below forecast. Readings above 50.0 indicate expansion in manufacturing in the Midwest region. No other key data will be released today.