Bond Market Update

Narrow Range Persists

• U.S. Treasuries hover just above session lows that were reached about 90 minutes ago. The long bond trades slightly behind other tenors, but all in all, the market is little changed from Friday's close. Today's lone economic report—the NAHB Housing Market Index for August (32; Briefing.com consensus 34)—has not invited a strong response from the market, but tomorrow's release of July Housing Starts (Briefing.com consensus 1.311 mln; prior 1.321 mln) and Building Permits (Briefing.com consensus 1.390 mln; prior 1.393 mln) could invite a stronger reaction. In Washington, President Trump is meeting with European leaders, including Ukraine's president, in search of an agreement to end Ukraine's war with Russia.
• Yield Check:
  • 2-yr: UNCH at 3.76%
  • 3-yr: UNCH at 3.72%
  • 5-yr: UNCH at 3.85%
  • 10-yr: +1 bp to 4.34%
  • 30-yr: +1 bp to 4.94%