Bond Market Update

Opening Range Maintained

• U.S. Treasuries trade just above their starting levels after a quiet start to the cash session. Treasuries started the day with slight losses, but they quickly began rising off lows, finding some resistance near yesterday's closing levels. Treasuries climbed after the release of the May Retail Sales report (0.9%; Briefing.com consensus 0.5%), even though the report beat expectations. The bounce off early lows has returned the long bond to its unchanged level while shorter tenors remain slightly lower for the day. Similarly, equities are off to a flat start with the S&P 500 (+0.1%) currently defending a 1.1% gain for the week.
• Yield Check:
  • 2-yr: +1 bp to 4.06%
  • 3-yr: +1 bp to 4.10%
  • 5-yr: +2 bps to 4.17%
  • 10-yr: +1 bp to 4.44%
  • 30-yr: UNCH at 4.93%