Bond Market Update

Data Recon

• Existing home sales decreased 2.4% month-over-month in June to a seasonally adjusted annual rate of 4.09 million (Briefing.com consensus: 4.20 million) from an upwardly revised 4.19 million (from 4.17 million) in May. Sales were up 2.8% on a year-over-year basis.
  • The key takeaway from the report is that affordability conditions improved across all regions as wage growth outpaced home price growth; however, overall sales were still pressured by high prices and elevated mortgage rates.
• Yield Check:
  • 2-yr: -2 bps to 4.18%
  • 3-yr: -2 bps to 4.22%
  • 5-yr: -2 bps to 4.29%
  • 10-yr: -1 bp to 4.56%
  • 30-yr: UNCH at 5.07%