Bond Market Update

Sideways Start Continues

• U.S. Treasuries continue trading in mixed fashion with relative strength up front and slim losses in longer tenors. The market has navigated a sideways range through the first two hours of action, showing little reaction to today's big batch of data that included above-consensus March Retail Sales (1.4%; Briefing.com consensus 1.3%), an in-line dip in March Industrial Production (-0.3%), a smaller-than-expected increase in February Business Inventories (0.2%; Briefing.com consensus 0.3%) and an unexpected increase in the NAHB Housing Market Index for April (40; Briefing.com consensus 39). Equities, meanwhile, are off to a weak start with technology stocks leading the slide as the market responds to new export restrictions for NVIDIA (NVDA 105.08, -7.12, -6.4%).
• Yield Check:
  • 2-yr: -2 bps to 3.81%
  • 3-yr: -1 bp to 3.83%
  • 5-yr: +1 bp to 3.97%
  • 10-yr: +2 bps to 4.34%
  • 30-yr: +2 bps to 4.80%