Bond Market Update

Losses Widened

• U.S. Treasuries trade on their lows with longer tenors pacing an intraday extension of today's starting losses. The long bond showed some early resilience, briefly rising above its starting mark, but it eventually gave in to the overall pressure that has driven the complex to fresh lows. Today's pullback from three days of buying has received added intraday support from a rising price of oil after it was reported that a draft version of the U.S.-Iran deal, which will be voted on in the Iranian parliament, calls for a ban on U.S.- and Israel-linked vessels in the Strait of Hormuz. Crude oil has risen back above its 200-day moving average (76.26), currently up $2.83, or 3.8%, for the day.
• Yield Check:
  • 2-yr: +6 bps to 4.24%
  • 3-yr: +6 bps to 4.30%
  • 5-yr: +7 bps to 4.39%
  • 10-yr: +6 bps to 4.67%
  • 30-yr: +4 bps to 5.21%