Bond Market Update

Early Losses Narrowed

• U.S. Treasuries have trimmed their post-NFP losses, though the 10-yr note and shorter tenors are still in the red with the front end showing relative weakness. The market has spent the past two hours in a slow grind off lows, but only the long bond has made it back into positive territory so far. The 30-yr bond outperforms today and it is also on course to finish the week ahead of issues in the belly. The 30-yr yield is currently up three basis points for the week while the yields on 5s and 10s are up six basis points from last Friday's settlement. Equities are off to a lower start with the S&P 500 (-0.4%) returning to unchanged for the week.
• Yield Check:
  • 2-yr: +4 bps to 4.37%
  • 3-yr: +4 bps to 4.45%
  • 5-yr: +3 bps to 4.54%
  • 10-yr: +2 bps to 4.78%
  • 30-yr: UNCH at 5.24%