Bond Market Update

Steady in Early Trade

• U.S. Treasuries have dipped from their morning highs, returning the long bond to its flat line while shorter tenors remain slightly higher for the day. The first couple hours of trade have unfolded in quiet fashion, keeping the market between yesterday's highs and closing levels. Economic data released this morning included a big jump in the Chicago PMI (62.7; prior 49.2), which returned to expansion after two months in contraction. Equities are off to a higher start with the S&P 500 (+0.3%) extending this week's gain to 1.5%.
• Yield Check:
  • 2-yr: UNCH at 4.02%
  • 3-yr: -1 bp to 4.06%
  • 5-yr: -1 bp to 4.15%
  • 10-yr: UNCH at 4.45%
  • 30-yr: UNCH at 4.99%