{"id":22708,"date":"2024-11-01T21:34:30","date_gmt":"2024-11-01T21:34:30","guid":{"rendered":"https:\/\/www.thinkadvisor.com\/2024\/11\/01\/bond-yields-end-week-higher-as-market-preps-for-trio-of-risks\/"},"modified":"2024-11-01T21:34:30","modified_gmt":"2024-11-01T21:34:30","slug":"bond-yields-end-week-higher-as-market-preps-for-trio-of-risks","status":"publish","type":"post","link":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/2024\/11\/01\/bond-yields-end-week-higher-as-market-preps-for-trio-of-risks\/","title":{"rendered":"Bond Yields End Week Higher as Market Preps for Trio of Risks"},"content":{"rendered":"<div class=\"media_block\"><a href=\"https:\/\/feeds.feedblitz.com\/-\/907245374\/0\/thinkadvisor.jpg\"><img decoding=\"async\" src=\"https:\/\/feeds.feedblitz.com\/-\/907245374\/0\/thinkadvisor.jpg\" class=\"media_thumbnail\"><\/a><\/div>\n<div><img decoding=\"async\" src=\"https:\/\/images.thinkadvisor.com\/contrib\/content\/uploads\/sites\/415\/2023\/12\/03_Businessman_Stock_Crash_Recession_Adobe_640x640.jpg\" class=\"ff-og-image-inserted\"><\/div>\n<p><!----><!----> <\/p>\n<div data-v-58ebebf4 readability=\"12\">\n<p>Late in New York trading, yields hovered near session highs, with the two-year up 3.5 basis points to top 4.20%. The moves were larger for longer-dated benchmarks, with both 10- and 30-year yields up nearly 10 basis points.<\/p>\n<\/div>\n<p><!----> <!----> <\/p>\n<div data-v-58ebebf4 readability=\"12\">\n<p>Yields had climbed roughly 60 basis points throughout October, causing a Bloomberg gauge of the debt to post its worst monthly loss since 2022. Leading into Friday&#8217;s data, traders in the options markets had been&nbsp;hedging against&nbsp;a deeper selloff in Treasuries and liquidating positions in anticipation of next week&#8217;s risk events.<\/p>\n<\/div>\n<p><!----> <!----> <\/p>\n<div data-v-58ebebf4 readability=\"8\">\n<p>Volatility has been rising as Kamala Harris and Donald Trump face off in a tight race for the White House on Nov. 5.<\/p>\n<\/div>\n<p> <!----> <\/p>\n<div data-v-58ebebf4 readability=\"13\">\n<p>The ICE BofA Move Index, a closely watched gauge of U.S. bond-market volatility, closed at its highest this year this week, showing that traders are paying up to protect against increased turbulence. The Fed&nbsp;meets on Nov. 7, just two days after the vote.<\/p>\n<\/div>\n<p><!----> <!----> <\/p>\n<div data-v-58ebebf4 readability=\"12\">\n<p>&#8220;Clearly, there is risk next week in terms of uncertainty around the election,&#8221; said Roger Hallam, global head of rates at Vanguard. And the recent string of firmer data mean &#8220;the outcomes for Fed policy next year also widen \u2014 and that feeds into relative market volatility as well.&#8221;<\/p>\n<\/div>\n<p><!----> <!----> <\/p>\n<div data-v-58ebebf4 readability=\"9\">\n<p>Bond investors will also have to contend with a trio of Treasury auctions \u2014 including a sale of three-year notes Monday and the big quarterly 10-year and 30-year new issues on Tuesday and Wednesday.<\/p>\n<\/div>\n<p><!----> <\/p>\n<div data-v-58ebebf4 readability=\"10\">\n<p>Each sale will take place a day earlier than normal practice, giving dealers less time to prepare. Monday is a bank holiday in Japan, further curtailing the pre-auction period.<\/p>\n<\/div>\n<p><!----> <!----> <\/p>\n<div data-v-58ebebf4 readability=\"10\">\n<p>&#8220;Next week is an uncertain environment and one where the market is a little less willing to take down risk,&#8221; said Hallam. &#8220;There is a bit of a concession being built in ahead of the next Treasury supply to ensure it goes smoother.&#8221;<\/p>\n<\/div>\n<p><!----> <!----> <\/p>\n<div data-v-58ebebf4 readability=\"11\">\n<p><em>(Image: Adobe Stock)<\/em> <\/p>\n<p class=\"disclaimer_message\">Copyright 2024 Bloomberg. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.<\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Late in New York trading, yields hovered near session highs, with the two-year up 3.5 basis points to top 4.20%. The moves were larger for longer-dated benchmarks, with both 10- and 30-year yields up&#46;&#46;&#46;<\/p>\n","protected":false},"author":1,"featured_media":22709,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[],"tags":[1],"jetpack_featured_media_url":"https:\/\/blog.lifeinsurance-orleans.ca\/wp-content\/uploads\/2024\/11\/bond-yields-end-week-higher-as-market-preps-for-trio-of-risks.jpg","_links":{"self":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/22708"}],"collection":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/comments?post=22708"}],"version-history":[{"count":0,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/22708\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/media\/22709"}],"wp:attachment":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/media?parent=22708"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/categories?post=22708"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/tags?post=22708"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}