|Day's Range||2.0650 - 2.1080|
|52 Week Range||1.9160 - 3.4550|
Long-term Treasury yields jumped after Bloomberg News reported that the U.S. Treasury Department would reach out to market participants on the possibility of issuing ultra-long bonds. The 30-year Treasury bond yield climbed 5.8 basis points to 2.038%. Debt prices move in the opposite direction of yields. The Treasury Department has periodically asked investors about the idea of selling ultra-long bonds with maturities beyond 30 years. Back in 2017, the Treasury asked primary dealers about the potential uptake for bonds ranging between maturities of 40 years to a 100 years.
After falling to an all-time low Wednesday, the 30-year U.S. Treasury bond yield dropped under the 2% level for the first time early Thursday in Asian trading. The longest-dated Treasury bond dropped to 2.06% during U.S. trading, and was last at 1.97%. The 30-year yield's previous all-time low was set in July 2016, when it touched 2.09% after the U.K.'s Brexit vote. Debt prices move in the opposite direction of yields.
The yield for the longest-dated Treasury bond fell to its lowest level in history. Investors said the $22 trillion U.S. government debt market hit this key milestone on a combination of factors including the growing world of negative-yielding government bonds, expectations for Fed easing spurred by rising recession concerns, and the absence of inflation pressures. The 30-year Treasury bond yield (BX:TMUBMUSD30Y) fell to 2.06% on Wednesday, following a relentless rally in long-term government bonds in the past few weeks.
“With a substantial amount of central bank easing already priced, in our view, a marked deterioration in economic data would be required for the rally to continue. Bond yields for leading G-7 rivals were even lower, with Germany’s (BX:TMBMKDE-10Y) and Japan’s (BX:TMBMKJP-10Y) 10-year in negative territory.
U.S. Treasurys on Tuesday dipped back near their lowest levels in more than 2 years after a well-bid note auction showed demand for safe haven U.S. debt and China’s central bank restrained the yuan’s fall to its lowest point in a decade amid the ongoing U.S.-China trade war.
Treasury prices add to a multiday surge on Monday, sending yields to the lowest levels in years, as investors sought havens after China allowed its currency to weaken below a closely watched level, marking an intensification of the U.S.-China trade war.
Traders' expectations for the Federal Reserve to ease policy rose in the fed fund futures market after President Donald Trump announced plans to impose 10% tariffs on the remaining $300 billion worth of imports that have up to now been untouched by levies. Expectations for the Fed to cut rates by 25 basis points at the September meeting of the Federal Open Market Committee climbed to 70.4%, from 48.6% a day ago, CME Group data show. This comes only a day after Fed Chairman Jerome Powell suggested July's 25 basis point rate cut was more of an insurance policy against global economic risks.
Short-dated Treasury yields that are sensitive to monetary policy expectations surged on Wednesday after Federal Reserve Chairman Jerome Powell characterized his 25 basis point rate cut as a mid-cycle policy adjustment. The 2-year Treasury note yield rose 6.2 basis points to 1.910%, spiking as high as 1.944%. Debt prices move in the opposite direction of yields. Powell's remarks appeared to suggest the central bank's rate cut was more of an "insurance" move that would protect the U.S. economy from global risks.
The U.S. Treasury Department said Wednesday it will increase the supply of short-term bills once the budget agreement reached between the White House and House Democrats is signed into law.
Traders in the fed funds futures market now expect a more than 50% chance of a 50 basis point rate cut by the Federal Reserve at its July 30-31 meeting, following the release of prepared remarks from New York Fed President John Williams. The chance of a 50 basis point rate-cut was estimated at 34% a day ago. The 2-year Treasury note yield , sensitive to expectations for Fed policy, tumbled 5.5 basis points to 1.781%. Debt prices move in the opposite direction of yields. Williams said the Fed should respond early to signs of economic weakness."When you only have so much stimulus at your disposal, it pays to act quickly to lower rates at the first sign of economic distress," he said. Among members of the Federal Open Market Committee, Williams has been an advocate for preemptive, or "insurance," rate cuts to prolong the expansion.
Treasury yields jump Tuesday after update on consumer spending shows the economic health of U.S. households remains in good shape.
Treasury yields fell on Monday as Chinese growth fell to its slowest pace since 1992, even as other accompanying data pointed to signs of stabilization.
Our call of the day comes from a money manager who says he got out of stocks and bonds in early July, and why investors should follow suit.
Long-term U.S. Treasury yields climb this week, despite trading lower on Friday, following testimony from Federal Reserve Chairman Jerome Powell, who entrenched expectations for interest rate-cuts at the end of this month.
U.S. Treasury yields climb after a stronger-than-expected June inflation reading weighs on demand for an auction of long-dated government paper.
U.S. Treasury yields came sharply off their highs on Wednesday after Federal Reserve Chairman Jerome Powell’s remarks spurred rate-cut bets
Treasury prices slip Tuesday, pushing yields higher, as a key debt auction for short-dated notes weighed on trading for U.S. government paper.
Treasury yields fall Monday as investors look ahead to June’s consumer prices data and Federal Reserve Chairman Jerome Powell’s testimony on the economic outlook later this week.
Treasury yields surge Friday after the June jobs report shows the U.S. labor market holding up despite global growth concerns.
Short-term Treasury yields rose sharply on Friday following a better-than-expected number in the nonfarm payrolls report, suggesting investors' expectations for a rate-cut as soon as July had been dealt a blow. The 2-year Treasury note yield climbed 4.6 basis points to 1.811%. The short-dated maturity is sensitive to expectations for the path of future interest rates. The 10-year note yield rose 3.1 basis points to 1.983%. Debt prices move in the opposite direction of yields. The U.S. economy added 224,000 jobs in June, well above the 170,000 jobs expected in May. The jobs report could help reverse some of the negative economic sentiment that has helped raise expectations for Federal Reserve policy easing later this year.
Treasury yields extend their fall on Wednesday amid reports that the Federal Reserve and the European Central Bank could appoint potentially dovish members to key positions.
U.S. Treasury yields fall Tuesday after Australia cut interest rates, underlining plans by the world’s major central banks to loosen monetary policy.
Treasury yields fell sharply on Tuesday, in line with the decline in British government bond yields, after dovish comments from Bank of England Governor Mark Carney stirred demand for haven assets. The 10-year Treasury note yield fell 5.7 basis points to 1.976%, near to its lowest level since November 2016 of 1.972%. The U.K. 10-year government bond yield plunged 8.1 basis points to 0.721%, Tradeweb data show. Carney said the risk of a global trade war and a no-deal Brexit could slam the global economy, underlining the fragility of U.K.'s expansion. Central banks across developed-markets have increasingly toned down their hawkish views or pushed for outright policy easing. The Reserve Bank of Australia lowered it key cash interest rate by a quarter percentage point to 1% on Tuesday, its second cut in as many meetings.
Investors are worried this morning as bond yields are crashing to near the all-time low of 2.08%. Yahoo Finance’s Brian Sozzi and Brian Cheung discuss if this could point to a recession on the horizon.