Bond Market Update

Longer Tenors on Highs

• U.S. Treasuries trade on their highs after overcoming some early softness in longer tenors. The market spent the bulk of the morning in a sideways range with shorter tenors showing slight strength, but the past two hours have seen a push to fresh highs in the 5-yr note and longer tenors while the 2-yr note remains a bit below its early high. The recent rise has helped 10s and 30s build on this week's gains with their yields down a respective five and eight basis points for the week, while the 2-yr note is on course to record a slim loss for the week, sending its yield higher by four basis points.
• Yield Check:
  • 2-yr: UNCH at 3.92%
  • 3-yr: -1 bp to 3.86%
  • 5-yr: -2 bps to 3.95%
  • 10-yr: -2 bps to 4.38%
  • 30-yr: -3 bps to 4.92%