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Bonds yet to catch bid as stock selloff continues

Published 02/05/2018, 09:48 AM
© Reuters.  Bonds yet to catch bid as stock selloff continues
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  • Bond market veterans are struggling to remember the last time stocks sold off 2%, and yields on the long end of the Treasury curve actually rose sharply. But just that scenario occurred on Friday.
  • As for today, stocks are selling off again (the S&P 500 down 0.9%), but bonds still can't catch a bid. The 10-year Treasury yield is flat at 2.842%. TLT -0.4%, TBT +0.8%.
  • Across the pond is a different story, with the German 10-year Bund yield lower by 3.6 basis points to 0.73% as stocks in Europe slump 1.4%.
  • In other fixed-income related news, new Fed Chairman Jay Powell was sworn in this morning. Janet Yellen heads to the Brookings Institution, but not before presenting Wells Fargo (NYSE:WFC) with a departing gift late on Friday. WFC is lower by 8.4%.
  • ETFs: AGG, BND, PTY, BOND, RCS, BTZ, DBL, PCM, SCHZ, BHK, SPAB, JHI, INC, IUSB, AGGY, FBND, JMM
  • Now read: How To Borrow Money More Cheaply Than The U.S. Government


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