Bond Market Update

Data Recon

• Initial jobless claims for the week ending October 19 decreased by 15,000 to 227,000 (Briefing.com consensus 246,000). On an unadjusted basis, initial claims totaled 202,635, a decrease of 22,634 from the previous week. Continuing jobless claims for the week ending October 12 increased by 28,000 to 1.897 million.
  • The key takeaway from the report is that, while it might still contain some noise from the effects of the hurricanes, the initial claims data from both a seasonally adjusted and unadjusted basis connote a labor market that is still operating on solid ground that is a long way from recession-like territory.
• Yield Check:
  • 2-yr: -4 bps to 4.05%
  • 3-yr: -4 bps to 4.00%
  • 5-yr: -4 bps to 4.02%
  • 10-yr: -3 bps to 4.21%
  • 30-yr: -3 bps to 4.49%