People sold bonds excessively the past several days and yields became high enough to attract buyers. Declines in stocks are giving people a chance to pay more attention to the value of bonds.

The environment is becoming unfavorable to bonds. I don't think the auction will be good.

The slide in stocks is a positive for bonds. Further stocks declines will damp individuals' sentiment and could affect growth.

Strong figures on growth and inflation will reinforce expectations of higher Fed rates, supporting the dollar. Fed policy is now more and more data dependent.

The current yield level is attractive enough and we can expect some buying. Additional evidence to show the economy is expanding, or consumer prices are rising, is necessary for bond yields to reach a higher range.

Because of their high yields and stable cash flows, utilities are defensive stocks. But with deregulation, part of the business -- the power generation piece -- is exposed to supply and demand concerns where it wasn't before.