Korea Bond Market Daily Report: 1/9/2025
Korea Bond Market Daily Report
Treasury yields
| Treasury yields | Recent | DoD (bp) | YTD (bp) | YoY (bp) |
|---|---|---|---|---|
| 3Y KTB | 2.50% | ▼ 0.3 | ▼ 0.2 | ▼ 79.2 |
| 10Y KTB | 2.80% | ▲ 0.2 | ▲ 4.7 | ▼ 54.8 |
| Term Spread(bp) | 29.1 | ▲ 0.5 | ▲ 4.9 | ▲ 24.4 |
| Corp. AA- 3Y | 3.18% | ▼ 0.5 | ▼ 1.5 | ▼ 86.3 |
| Credit spread(bp) | 67.7 | ▼ 0.2 | ▼ 1.3 | ▼ 7.1 |
US Treasury Yields
| US Treasury Yields | Recent | DoD (bp) | YTD (bp) | YoY (bp) |
|---|---|---|---|---|
| 2Y US Treasury | 4.29% | ▼ 0.9 | ▲ 4.1 | ▼ 6.9 |
| 10Y US Treasury | 4.69% | ▲ 1.5 | ▲ 11.5 | ▲ 67.5 |
| Term Spread(bp) | 39.4 | ▲ 2.4 | ▲ 7.4 | ▲ 74.4 |
[Market Trends].
The December US FOMC minutes suggested a hawkish stance, but in his Paris speech, Mr. Wheeler pointed to its unreliability as a basis for predicting the future path of inflation.
Long-term rates rose on Trump's economic emergency comments, while short-term rates fell on the back of weaker-than-expected jobs data.
[Top economic news and events].
Top U.S. News
Solid demand was seen in the 30-year US Treasury auction.
December ADP Private Payrolls came in below expectations (14.0 million) at 12.2 million.
Featured News
A Bloomberg editorial says the Bank of Korea is at a crossroads between economic and financial stability.
Governor Lee Chang-yong and members of the Monetary Policy Committee are focusing on discussions of rate cuts and freezes ahead of the monetary policy meeting.
Other News and Events
News of Germany's snap general election is raising expectations for the impact on the domestic market and for an improved trade and defense agreement with the United States.
Discussions about reforming the debt brake rules are fueling hopes of an economic recovery.
[Response Strategy].
In the short term, watch the jobs report and the gold price closely for policy direction to restore market confidence.
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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