Bond Market Update

Opening Levels Revisited

• U.S. Treasuries hover near their starting levels after rising off their lows during the past two hours. The Treasury complex extended its starting losses during the first hour of action alongside a rise in crude oil, but oil has returned to levels seen in early morning action, prompting a concurrent bounce in Treasuries. WTI crude is now back below $85 amid guarded optimism that the Iran conflict is winding down after Pakistan's prime minister confirmed that the U.S. and Iran agreed on the text of a peace agreement. Assuming no late volatility, Treasuries are on track to end the week in positive territory with the 10-yr yield currently down six basis points from last Friday. Equities continue trading modestly higher after SpaceX (SPCX 166.27, +31.27, +23.16%) made history with its public debut, instantly becoming one of the most valuable companies in the U.S.
• Yield Check:
  • 2-yr: +1 bp to 4.08%
  • 3-yr: +1 bp to 4.13%
  • 5-yr: +1 bp to 4.21%
  • 10-yr: +2 bps to 4.48%
  • 30-yr: +2 bps to 4.97%