Bond Market Update

Longer Tenors Pinned to Lows

• U.S. Treasuries have faced continued pressure, with longer tenors on the verge of slipping past their morning lows while the 2-yr note has held a bit above its morning low. While the pace the selling has slowed since the start, the market remains on course for a lower finish to the week with the 30-yr yield up eleven basis points from last Friday's settlement while the 2-yr yield is up three basis points for the week. The market is on track to lock in sizable losses for the month with the 30-yr yield up 37 basis points since the end of June while the 2-yr yield is up 16 basis points for the month that saw a rebound in the price of oil.
• Yield Check:
  • 2-yr: +7 bps to 4.30%
  • 3-yr: +8 bps to 4.36%
  • 5-yr: +8 bps to 4.45%
  • 10-yr: +8 bps to 4.74%
  • 30-yr: +6 bps to 5.27%