Bond Market Update

Opening Dip Reversed

• U.S. Treasuries are little changed after rising off their opening lows. The market set fresh lows in immediate reaction to the 8:30 ET release of Personal Income/Outlays for December and the Q4 Employment Cost Index, before seeing a swift bounce. The market then reached session highs after the Chicago PMI for January (39.5; Briefing.com consensus 41.5; prior 36.9) showed a smaller than expected increase. Equities are off to a higher start with the S&P 500 (+0.6%) turning positive for the week (+0.1%), which started on a poor note with AI-related stocks facing considerable pressure.
• Yield Check:
  • 2-yr: UNCH at 4.20%
  • 3-yr: UNCH at 4.24%
  • 5-yr: UNCH at 4.32%
  • 10-yr: UNCH at 4.51%
  • 30-yr: UNCH at 4.76%