Bond Market Update

Back to Lows

• U.S. Treasuries have slipped back into negative territory after reversing from their morning highs. Today's session has featured some volatility, though the movement has been confined to a narrow range with the 10-yr yield bouncing between a low of 4.377% and a high of 4.426%. The benchmark yield currently sits just below that high while equities are back at their best levels of the session after recovering from an opening swoon. The recent selling has returned yields on 5s and longer tenors to their opening levels from yesterday's session while the 2-yr yield has crept up on its high from Monday. On a side note, Chicago Fed President Goolsbee, who will have an FOMC vote in 2025, said that he expects rates to end up a fair bit lower over the next year or so, but acknowledged that the process will take time.
• Yield Check:
  • 2-yr: +2 bps to 4.33%
  • 3-yr: +3 bps to 4.29%
  • 5-yr: +2 bps to 4.30%
  • 10-yr: +2 bps to 4.43%
  • 30-yr: +2 bps to 4.61%