Stock Market Update

[BRIEFING.COM] The major averages have eased from their session highs just after midday but continue to hold solid gains.

Meanwhile, U.S. Treasuries hover just above their opening levels after resisting an early attempt at a pullback. Treasuries backtracked from their higher start during the first 90 minutes of action but found support shortly after the long bond briefly turned negative. The market was lifted back to opening levels by a mid-morning push that also produced fresh highs across the curve before some renewed backtracking. The market has received some slight recent help from a $58 bln 3-year note offering, which met decent demand. The sale drew a high yield of 4.932%, which stopped through the when-issued yield by 0.2 basis points. Internals were a bit weaker, as the bid-to-cover ratio (2.62x) was below average (2.67x) while indirect takedown (57.6%) was also below average (64.8%). The U.S. Treasury will continue this week's note and bond auction slate with a $39 bln 10-year note reopening tomorrow.