Bond Market Update

Data Recon

• Durable goods orders jumped 5.3% month-over-month in November (Briefing.com consensus: 1.1%) following an upwardly revised 2.1% decline (from -2.2%) for October. Excluding transportation, durable goods orders rose 0.5% month-over-month (Briefing.com consensus: 0.3%) following a downwardly revised 0.1% increase (from 0.2%) for October.
  • The key takeaway from the report is that it showed good business spending activity, evidenced by the 0.7% month-over-month jump in nondefense capital goods orders excluding aircraft.
• Yield Check:
  • 2-yr: UNCH at 3.60%
  • 3-yr: -1 bp to 3.66%
  • 5-yr: -2 bps to 3.82%
  • 10-yr: -2 bps to 4.22%
  • 30-yr: -3 bps to 4.80%