Bond Market Update

Shorter Tenors Pull Back

• U.S. Treasuries remain in the green, but there has been some recent divergence with the long bond rising past its opening level while 5s and shorter tenors have slipped to fresh lows after a steady retreat from their post-CPI highs. The belly showed some strength in early trade but longer tenors are now ahead thanks to their resistance to the intraday selling efforts. Equities, meanwhile, are hanging onto their gains with the S&P 500 up 1.1%.
• Yield Check:
  • 2-yr: -1 bp to 3.48%
  • 3-yr: -1 bp to 3.52%
  • 5-yr: -2 bps to 3.68%
  • 10-yr: -2 bps to 4.13%
  • 30-yr: -3 bps to 4.80%