Korea Bond Market Daily Report: 1/10/2025
Korea Bond Market Daily Report
Treasury yields
| Treasury yields | Recent | DoD (bp) | YTD (bp) | YoY (bp) |
|---|---|---|---|---|
| 3Y KTB | 2.50% | ▼ 0.5 | ▼ 0.7 | ▼ 75.5 |
| 10Y KTB | 2.78% | ▼ 1.8 | ▲ 2.9 | ▼ 54.5 |
| Term Spread(bp) | 27.8 | ▼ 1.3 | ▲ 3.6 | ▲ 21.0 |
| Corp. AA- 3Y | 3.17% | ▼ 0.8 | ▼ 2.3 | ▼ 83.0 |
| Credit spread(bp) | 67.4 | ▼ 0.3 | ▼ 1.6 | ▼ 7.5 |
US Treasury Yields
| US Treasury Yields | Recent | DoD (bp) | YTD (bp) | YoY (bp) |
|---|---|---|---|---|
| 2Y US Treasury | 4.27% | ▼ 3.4 | ▲ 1.6 | ▼ 9.4 |
| 10Y US Treasury | 4.69% | ▲ 1.9 | ▲ 11.9 | ▲ 66.9 |
| Term Spread(bp) | 42.3 | ▲ 5.3 | ▲ 10.3 | ▲ 76.3 |
[Market Trends].
The recent hawkish comments from Kansas City Fed President Jeffrey Schmidt, coupled with expectations of a rate cut, have led to a slight reversal in U.S. Treasury yields.
The number of bankruptcy filings by U.S. companies has hit a 14-year high, a result of high interest rates and declining consumer spending.
[Top economic news and events].
Top U.S. News
Kansas City Fed President Jeffrey Schmid emphasized his hawkish stance by expressing optimism about the U.S. economy.
In the U.S., 694 corporate bankruptcy filings were made in 2024, exceeding the number in 2020, the year the pandemic impacted the country.
Featured News
Regarding South Korean government bonds, interest rates have been falling in the bond market recently on expectations of a rate cut by the central bank.
The South Korean won/dollar exchange rate rose slightly to 1,460 won.
Other News and Events
[Response Strategy].
Current interest rate changes and monetary policy decisions need to be approached cautiously and data-driven, and investors should closely analyze key market indicators to adjust their response strategies.
Disclaimer The information contained in this report has been obtained from sources believed to be reliable, but we do not guarantee its accuracy or completeness. This report is for informational purposes only and is not a solicitation or offer to buy or sell any security or financial instrument. Opinions expressed in this report are subject to change without notice. Investment decisions are the sole responsibility of the investor and you should seek professional advice as needed
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