Korea Bond Market Daily Report: 11/21/2024
Korea Bond Market Daily Report
Treasury yields
Treasury yields | Recent | DoD (bp) | YTD (bp) | YoY (bp) |
---|---|---|---|---|
3Y KTB | 2.87% | ▼ 1.6 | ▼ 36.7 | ▼ 79.4 |
10Y KTB | 3.02% | ▼ 1.9 | ▼ 28.9 | ▼ 73.8 |
Term Spread(bp) | 14.4 | ▼ 0.3 | ▲ 7.8 | ▲ 5.6 |
Corp. AA- 3Y | 3.44% | ▼ 1.9 | ▼ 54.2 | ▼ 103.1 |
Credit spread(bp) | 56.5 | ▼ 0.3 | ▼ 17.5 | ▼ 23.7 |
US Treasury Yields
US Treasury Yields | Recent | DoD (bp) | YTD (bp) | YoY (bp) |
---|---|---|---|---|
2Y US Treasury | 4.32% | ▲ 4.9 | ▼ 1.1 | ▼ 57.1 |
10Y US Treasury | 4.41% | ▲ 2.2 | ▲ 46.2 | ▼ 0.8 |
Term Spread(bp) | 9.3 | ▼ 2.7 | ▲ 47.3 | ▲ 56.3 |
[Market Trends].
In recent months, U.S. Treasury yields have been rising due to slow progress in inflation and weak demand in Treasury auctions.
Domestic interest rates have been trending lower as safe-haven assets are favored over geopolitical risk.
[Top economic news and events].
Top U.S. News
Fed Governor Lisa Cook said that if the labor market and inflation perform as expected, the Fed may need to lower the benchmark interest rate.
The US Treasury's 20-year note auction saw very weak demand, resulting in a Treasury rate of 4.680%.
Featured News
Fed Director Bowman has indicated that she favors a cautious approach to lowering policy rates.
Lotte Group's corporate bonds are trading at 70.1 basis points above the benchmark rate, raising concerns.
Other News and Events
The US election has brought to the forefront the issue of growing fiscal imbalances.
[Response Strategy].
In light of recent economic events, you may want to strengthen your risk management and consider diversifying your portfolio in anticipation of possible interest rate cuts.
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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