Bond Market Update

Recent Trend Maintained

• U.S. Treasuries continue trading in positive territory, though early action has seen a dip from highs that were notched immediately after the cash start. Treasuries began backtracking from their starting levels right after the open before finding some support just above yesterday's closing levels. However, true to this week's form, the action has been confined to a narrow range. In Washington, Fed Chairman Powell is testifying before the House Financial Services Committee, but his remarks are expected to be in line with comments that were made yesterday. Equities are off to a higher start with the Nasdaq (+0.6%) outpacing the S&P 500 (+0.4%) while the Dow (unch) lags once again.
• Yield Check:
  • 2-yr: -1 bp to 4.62%
  • 3-yr: -2 bps to 4.39%
  • 5-yr: -1 bp to 4.24%
  • 10-yr: -1 bp to 4.29%
  • 30-yr: -1 bp to 4.48%