Bond Market Update

Pressure Persists

• U.S. Treasuries trade on their lows after widening their initial losses through the morning. Today's decline has continued since the start, but it has unfolded at a slow pace, so yields are only a bit higher than they were during our last update. Crude oil has continued building on its gain, contributing to the steady pressure on Treasuries, which has lifted the 2-yr yield back above its 50-day moving average (4.19%). Equities have slipped to lows with the Nasdaq (-0.5%) leading the weakness while the S&P 500 (-0.2%) is trying to resist.
• Yield Check:
  • 2-yr: +3 bps to 4.24%
  • 3-yr: +4 bps to 4.31%
  • 5-yr: +4 bps to 4.40%
  • 10-yr: +4 bps to 4.70%
  • 30-yr: +3 bps to 5.24%