Bond Market Update

Opening Gains Padded

• U.S. Treasuries trade just above their starting levels, hanging onto their early gains. The market faced some brief volatility in immediate reaction to this morning's batch of data, which included the release of the November CPI report that showed a deceleration in the year-over-year growth rate to 2.7% from 3.0% while core CPI decelerated to 2.6% from 3.0%. The market made a brief attempt at dipping past its opening levels about an hour ago before a swift return to morning highs with the belly leading the way.
• Yield Check:
  • 2-yr: -4 bps to 3.45%
  • 3-yr: -4 bps to 3.49%
  • 5-yr: -4 bps to 3.66%
  • 10-yr: -4 bps to 4.12%
  • 30-yr: -3 bps to 4.80%