Bond Market Update

New Lows

• Treasury yields continue to plumb new lows for the day following the decent 10-yr note auction and the release of the FOMC Minutes, which conveyed a view that "most participants assessed that some reduction in the target range for the federal funds rate this year would likely be appropriate."
• Not much support, though, for a July rate cut... but, then again, the market already knew that following the June jobs report.
• Yield check:
  • 2-yr: -5 bps to 3.86%
  • 3-yr: -5 bps to 3.82%
  • 5-yr: -7 bps to 3.92%
  • 10-yr: -8 bps to 4.34%
  • 30-yr: -7 bps to 4.87%