Bond Market Update

Long Bond Leads

• Recent action saw a push to a fresh session high in the long bond while shorter tenors have also seen some buying, but they remain in the red. The outperformance in the long end is a welcome sight, considering the 30-yr yield opened the week at its highest level since early September amid continued selling in Japanese debt. Equities are defending their gains with the S&P 500 (+0.7%) now down just 0.2% for the week, which started with a Tuesday dive to a one-month low.
• Yield Check:
  • 2-yr: +1 bp to 3.61%
  • 3-yr: +2 bps to 3.68%
  • 5-yr: +2 bps to 3.85%
  • 10-yr: +1 bp to 4.26%
  • 30-yr: -1 bp to 4.86%