Bond Market Update

Back at the High (yields)

• Seeing a round-trip trade today with the 10-yr rising to 4.61% early, sliding back to 4.58%, and now standing back at 4.61%. 
• Just not a lot of conviction in a thinly-traded market. 
• Stocks continue to struggle (Russell 2000 -2.1%; Nasdaq -1.9%; and S&P 500 -1.4%) with small-cap stocks and mega-cap stocks leading the losses, but most stocks losing ground.
• Looking ahead, Monday's economic calendar features the December Chicago PMI (prior 40.2) and November Pending Home Sales (prior 2.0%) reports.
• Yield check:
  • 2-yr: -2 bps to 4.31%
  • 3-yr: unch at 4.35%
  • 5-yr: +2 bps to 4.45%
  • 10-yr: +3 bps to 4.61%
  • 30-yr: +5 bps to 4.81%