Bond Market Update

Early Gains Narrowed

• U.S. Treasuries trade a few ticks below their starting levels after a failed early attempt at extending today's gains. Treasuries continued climbing during the first 30 minutes of action, but found resistance once yields on longer tenors dipped to their starting levels from last Monday. The next hour saw a slow pullback that pressured prices below today's starting levels. Economic data released this morning included another solid weekly Initial Claims reading while nonfarm productivity and unit labor cost growth in Q1 undershot expectations. Equities are adding to this week's gains thanks to early strength in technology.
• Yield Check:
  • 2-yr: -1 bp to 3.86%
  • 3-yr: -1 bp to 3.88%
  • 5-yr: -2 bps to 3.99%
  • 10-yr: -1 bp to 4.34%
  • 30-yr: UNCH at 4.94%