Bond Market Update

Opening Range Maintained

• U.S. Treasuries continue holding slim losses, having seen little movement over the past couple hours. Treasuries started the day in the red, respecting a narrow sideways range through early trade, thanks to the lack of economic data. The 10-yr note and the 5-yr note briefly inched up to their flat lines in recent trade, but they are now back near their starting levels, making for a quiet Monday morning. Equities also started with slim losses and they are fighting to recover with the S&P 500 now down just 0.1%. The U.S. Treasury will hold two note auctions today, with the results of the $69 bln 2-yr note sale expected in about an hour, followed by a $70 bln 5-yr note sale at 13:00 ET.
• Yield Check:
  • 2-yr: +2 bps to 3.80%
  • 3-yr: +2 bps to 3.82%
  • 5-yr: +2 bps to 3.94%
  • 10-yr: +1 bp to 4.32%
  • 30-yr: +1 bp to 4.93%