US Treasuries Sink on US-China Trade Ceasefire, Short End Hit Hardest — TradingView News

US-China trade ceasefire announced in the wee hours Monday caused the front-end and belly of US Treasury curve to get whacked with yields rising 12-13 bps. Also sent stocks and oil soaring and gold falling. While markets are euphoric for now there is still much uncertainty about a lasting deal (and deals with other countries), long term effects on prices and growth and how Fed might have to react. Week is chock full of key data points that will measure effects on Trump decisions to date: PPI, CPI, retail sales, import prices, Empire and Philly Fed survey. The bellwether 10Y note yield broke 4.40% but has managed to hold off key tech level of 4.5%. As of 8:45ET, 2Y at 4.006% vs 3.883% at 15:00ET Fri and 10Y at 4.461% vs 4.378%. 2/10Y curve +45.5 bps vs +49.5. 2/30Y curve + 87.9 bps vs +95.3.