Bond Market Update

50-Day Moving Average Revisited

• U.S. Treasuries have spent the first couple hours of action in a sideways range near their starting levels. With the early selling, yields on all tenors are back near their respective 50-day moving averages. The lower start to the week comes alongside some renewed dollar strength that is lifting the U.S. Dollar Index (106.96, +0.39, +0.4%) off its lowest level since early December. Meanwhile, gold futures (2945.10, +44.40, +1.5%) are continuing their march toward the $3000/ozt mark, having reclaimed the bulk of Friday's loss. Equities are off to a flat start with the Dow (-0.3%) showing some early relative weakness.
• Yield Check:
  • 2-yr: +2 bps to 4.26%
  • 3-yr: +2 bps to 4.29%
  • 5-yr: +4 bps to 4.36%
  • 10-yr: +4 bps to 4.51%
  • 30-yr: +3 bps to 4.73%