Bond Market Update

Fresh Highs Set

• Recent action saw a rally to fresh highs across the complex with 10s and shorter tenors climbing past their best levels from yesterday morning while the long bond has returned to yesterday's high. The recent buying has taken place alongside weakness in equities and continued strength in precious metals that has driven gold and silver futures to fresh record highs. On a side note, the U.S. Treasury will release its delayed Treasury Budget statement for September at 14:00 ET (Briefing.com consensus -$83.0 bln; prior -$344.8 bln).
• Yield Check:
  • 2-yr: -6 bps to 3.44%
  • 3-yr: -7 bps to 3.44%
  • 5-yr: -6 bps to 3.57%
  • 10-yr: -6 bps to 3.99%
  • 30-yr: -4 bps to 4.60%