Bond Market Update

Data Recon

• Existing home sales increased 2.0% month-over-month in July to a seasonally adjusted annual rate of 4.01 million (Briefing.com consensus 3.92 million) from an unrevised 3.93 million in June. Sales were up 0.8% on a year-over-year basis.
  • The key takeaway from the report is that a moderation in selling prices, coupled with an increase in inventory (the highest since May 2020), helped boost sales despite the persistence of higher mortgage rates.
• Yield Check:
  • 2-yr: +4 bps to 3.78%
  • 3-yr: +3 bps to 3.73%
  • 5-yr: +4 bps to 3.85%
  • 10-yr: +3 bps to 4.33%
  • 30-yr: +3 bps to 4.93%