Bond Market Update

Short End Backpedals

• Shorter-dated Treasuries have given back the bulk of their early gains while the long bond outperforms, remaining near its starting level. The first couple hours of trade have unfolded in quiet fashion save for the relative weakness up front. Today's economic data showed solid growth in Retail Sales for April (0.5%; Briefing.com consensus 0.4%), though that report is not adjusted for inflation. Equities have started the day on a positive note with the S&P 500 (+0.4%) extending its push into record territory while crude oil remains just below $101/bbl.
• Yield Check:
  • 2-yr: -1 bp to 3.98%
  • 3-yr: -2 bps to 4.01%
  • 5-yr: -2 bps to 4.11%
  • 10-yr: -3 bps to 4.45%
  • 30-yr: -4 bps to 5.01%