Fixed Income Recap

The two-year finished up 3/32, and the ten-year was higher by 18/32. The curve flattened 2 basis points on the day, and currently sits at +251 bps.

It was a quiet day in bonds. Treasurys rallied for the entire session on weakness in stocks, and managed to maintain their rally despite the turnaround in the equity markets in the last 30 minutes of trading. The frenzy from a few days ago subsided and for the first time in a while we had a plain old summer Friday in the bond market. There are no auctions or Fed purchases scheduled for next week so the market will get a break before activity resumes the following week.

Have a great evening.

Cliff J. Reynolds Jr., Junior Analyst