Reply To: Traders Market Weekly: Expect the Unexpected

#45520
Truman
Participant

Belly Outperforms

U.S. Treasuries trade in mixed fashion with the long bond remaining behind while shorter tenors outperform slightly. Treasuries slipped from their starting levels during the first few minutes of action, hitting lows shortly after the release of the September PPI report, which showed hotter than expected headline inflation while core PPI growth matched expectations.

The bounce off lows has been paced by the 5-yr note, which sits on its high, while the 10-yr note has also turned positive. Equities started the day on a slightly higher note with the S&P 500 (+0.2%) staying a step ahead of the Nasdaq (+0.1%).

2-yr: +1 bp to 4.31%
3-yr: -1 bp to 4.33%
5-yr: -2 bps to 4.15%
10-yr: UNCH at 3.94%
30-yr: +2 bps to 3.92%