Bond Market Update

Opening Gains Narrowed

• Longer-dated Treasuries hover just below their opening levels while the short end has backpedaled from today's opening high. Treasuries navigated a sideways range through the first hour of trade, dipping to lows after the release of an above-consensus Chicago PMI for March (47.6; Briefing.com consensus 45.3; prior 45.5), which showed an ongoing contraction, though at a slowing pace. Equities started the day on a lower note, but they are trying to trim their losses with the S&P 500 down 0.9%.
• Yield Check:
  • 2-yr: -3 bps to 3.88%
  • 3-yr: -3 bps to 3.87%
  • 5-yr: -3 bps to 3.95%
  • 10-yr: -4 bps to 4.22%
  • 30-yr: -5 bps to 4.59%