U.S. Treasuries lower start with longer tenors expected to resume last week’s underperformance, though the 2-yr note is also set for a weak start.
People’s Bank of China lowered its one-year loan prime rate by ten basis points to 3.45% while the 5-yr rate was left unchanged at 4.20%.
Bank stocks underperformed in Hong Kong after the PBoC action was announced due to expectations for more aggressive action.
Crude oil is climbing toward its high from two weeks ago while the U.S. Dollar Index is down 0.1% at 103.27, dipping back to its 200-day moving average (103.21).
Yield:
2-yr: +5 bps to 4.96%
3-yr: +2 bps to 4.66%
5-yr: +3 bps to 4.41%
10-yr: +4 bps to 4.29%
30-yr: +5 bps to 4.43%