Bond Market Update

Opening Range Maintained

• U.S. Treasuries continue hovering near their opening levels after a sideways start to the trading day. The market followed its lower open with a shallow rebound, but resistance was found well before action returned to Friday's closing levels. The initial bounce attempt gave way to a slip to fresh lows in longer tenors while the short end remains ahead. The market did not receive any data in early action, but an in-line Wholesale Inventories report for October (0.2%; Briefing.com consensus 0.2%; prior -0.2%) was released just a couple minutes ago. The S&P 500 (unch) is off to a subdued start while small caps have flashed some early strength with the Russell 2000 (+0.8%) playing catch up after underperforming last week.
• Yield Check:
  • 2-yr: +2 bps to 4.12%
  • 3-yr: +2 bps to 4.08%
  • 5-yr: +3 bps to 4.06%
  • 10-yr: +4 bps to 4.19%
  • 30-yr: +5 bps to 4.38%