Bond Market Update

"Patience Wearing Thin"

• Treasuries are finding some interest across the curve, but the bulk of today's gains were logged in the overnight trade when geopolitical angst was high on concerns that there could soon be an escalation in the Israel-Iran conflict.
• Things settled down a bit as the cash session started, but now Treasuries are finding a bid again following a Truth Social Post from President Trump, who said Iran's "Supreme Leader" is an easy target, but that "we are not going to take him out (kill!), at least not for now." He added that, "Our patience is wearing thin."
• Stocks sold off to session lows in the wake of the president's post.
• Yield check:
  • 2-yr: -2 bps to 3.95%
  • 3-yr: -3 bps to 3.90%
  • 5-yr: -4 bps to 4.00%
  • 10-yr: -6 bps to 4.40%
  • 30-yr: -6 bps to 4.90%