Bond Market Update

Opening Losses Widened

• U.S. Treasuries trade on their lows after adding to their initial losses. Treasuries spent the first few minutes near their starting levels, but selling pressure showed up in short order. Treasuries widened their losses after today's lone economic data point, the Empire State Manufacturing survey (actual -6.0; Briefing.com consensus -13.0; prior -15.6), showed a larger than expected improvement. The early selling has lifted yields off their lowest levels since late March back to levels from Thursday morning. Equities are off to a flat start with the S&P 500 sitting just below its flat line while the Nasdaq (+0.1%) is slightly higher.
• Yield Check:
  • 2-yr: +7 bps to 4.75%
  • 3-yr: +7 bps to 4.49%
  • 5-yr: +8 bps to 4.30%
  • 10-yr: +8 bps to 4.29%
  • 30-yr: +8 bps to 4.43%