Bond Market Update

Losses Reversed

• Recent action saw a steady bounce across the curve, which has returned the 2-yr note to little changed for the day while longer tenors remain slightly lower. Treasuries reached their lows shortly after the market received the flash Manufacturing (47.0; prior 47.9) and Services (55.4; prior 55.7) PMIs for September but spent next three hours in a steady bounce. The morning retreat briefly lifted yields on 10s and 30s to their highest levels in nearly three weeks, but they are now back below last week's highs.
• Yield Check:
  • 2-yr: UNCH at 3.57%
  • 3-yr: UNCH at 3.47%
  • 5-yr: +1 bp to 3.49%
  • 10-yr: +1 bp to 3.74%
  • 30-yr: UNCH at 4.07%