Bond Market Update

Off the Lows

• U.S. Treasuries are back at their flat lines after overcoming their modestly lower start. The trading day started with modest slim losses across the board, but the entire complex began rising after the open, returning all tenors to little changed just a few minutes after the cash start. Treasuries are holding near their flat lines in immediate reaction to the Existing Home Sales report for March (3.98 mln; Briefing.com consensus 4.01 mln), which was a bit weaker than expected. Equities started the day in the red, but like Treasuries, the S&P 500 has returned to little changed.
• Yield Check:
  • 2-yr: UNCH at 3.80%
  • 3-yr: UNCH at 3.82%
  • 5-yr: UNCH at 3.94%
  • 10-yr: +1 bp to 4.32%
  • 30-yr: +1 bp to 4.92%