Bond Market Update

Shorter Tenors Backpedal

• Longer-dated Treasuries continue holding the bulk of today's gains while recent relative weakness in shorter tenors has pressured the 2-yr note into negative territory. Treasuries notched their best levels just as equities opened in weak fashion, but the past three hours have seen steady selling, which has lifted yields off their lowest levels of the week. This week has seen some volatility, but the entire Treasury complex remains on track for a higher finish with the 2-yr yield currently down four basis points for the week while the 10-yr yield is down three basis points from last Friday's settlement.
• Yield Check:
  • 2-yr: +1 bp to 4.17%
  • 3-yr: UNCH at 4.20%
  • 5-yr: -1 bp to 4.27%
  • 10-yr: -3 bps to 4.54%
  • 30-yr: -4 bps to 5.06%