Bond Market Update

Short End Bounces

• U.S. Treasuries are mixed after a steady rise off their opening lows. The Treasury complex hit session lows during the first few minutes of the cash session, followed by a steady rise, which accelerated as equities opened in soft fashion. In addition, economic data released today included a below-consensus Consumer Confidence report for September (98.7; Briefing.com consensus 102.9), which has offered anther boost ahead of today's $69 bln 2-yr note at 13:00 ET. Thanks to the early bounce, the 5-yr note and shorter tenors are now in the green while 10s and 30s remain modestly lower.
• Yield Check:
  • 2-yr: -4 bps to 3.54%
  • 3-yr: -2 bps to 3.45%
  • 5-yr: -1 bp to 3.49%
  • 10-yr: +1 bp to 3.75%
  • 30-yr: +2 bps to 4.11%