Bond Market Update

Opening Dip Reversed

• U.S. Treasuries have risen off their opening levels as a sharp rise in weekly jobless claims (to 263,000 from 236,000) counters a hotter-than-expected CPI report for August (0.4%; Briefing.com consensus 0.3%). Treasuries lurched to fresh highs in immediate reaction to the data, but the past few minutes have seen a moderation of the move, returning the 10-yr yield to little changed. Equities are on course for a higher start with the S&P 500 set to pad this week's gain of 0.8%.
• Yield Check:
  • 2-yr: -1 bp to 3.52%
  • 3-yr: -2 bps to 3.47%
  • 5-yr: -1 bp to 3.58%
  • 10-yr: UNCH at 4.03%
  • 30-yr: UNCH at 4.68%