Bond Market Update

Gains Trimmed

• U.S. Treasuries have backed down from their morning highs, though the entire complex remains in positive territory. Treasuries built on their gains through the first two hours of action, but found resistance shortly after the 5-yr note approached its closing level from Thursday. The 2-yr note has shown some relative strength, which leaves its yield just four basis points above its December low and six basis points above its November low. That said, the past three hours have seen a steady retreat that has lifted yields back above today's starting levels while equities continue sporting modest losses with the S&P 500 down 0.2%.
• Yield Check:
  • 2-yr: -2 bps to 3.51%
  • 3-yr: -3 bps to 3.56%
  • 5-yr: -2 bps to 3.74%
  • 10-yr: -1 bp to 4.18%
  • 30-yr: -1 bp to 4.85%