Bond Market Update

Early Losses Maintained

• U.S. Treasuries hover near their starting levels after spending the initial 90 minutes of action in a sideways range. Treasuries slumped out of the gate, quickly lifting the 30-yr yield back to its closing level from Tuesday, before the Treasury announced changes to its buyback limits. Meanwhile, early selling in the 2-yr note has lifted its yield back to its 50-day moving average (4.199%). Equities started the day on a cautious note with the Nasdaq (-0.6%) leading to the downside while the S&P 500 (-0.3%) holds a slimmer loss.
• Yield Check:
  • 2-yr: +2 bps to 4.20%
  • 3-yr: +3 bps to 4.28%
  • 5-yr: +4 bps to 4.39%
  • 10-yr: +5 bps to 4.70%
  • 30-yr: +5 bps to 5.24%