Presented by Matt Glova and the LifeTime Asset Management team:
Weekly Market Update, November 30, 2020
The holiday-shortened week saw a modest pickup in yields. The 10-year Treasury yield opened at 0.82 percent and closed just shy of 0.88 percent on Wednesday. This morning, the 10-year yield opened at 0.85 percent, up 3 basis points (bps) from last week’s open. The 30-year yield opened just shy of 1.52 percent last week, and it opened at 1.58 percent this morning—a pickup of 6 bps. Finally, on the shorter end of the curve, the 2-year opened at 0.16 percent last week, dropping 1 bp to 0.15 percent this morning.
Weekly Market Update, November 23, 2020
With coronavirus cases on the rise, investors moved into Treasuries last week, causing a drop in yields. This drop came after yields had picked up on news of positive vaccine trials. The 10-year Treasury yield opened last Monday at 0.91 percent but closed the week at 0.83 percent, giving up 8 basis points (bps). The 30-year yield opened at 1.65 percent and closed at 1.53 percent, giving up 12 bps. The 2-year yield opened at 0.19 percent and closed at 0.16 percent. The move into Treasuries seemed to be part of a risk-off trade as states are forced to implement more stringent measures to control the spread of the coronavirus.
Weekly Market Update, November 16, 2020
Last week saw a major pickup in Treasury yields following the news of the Pfizer and BioNTech vaccine results. The 10-year Treasury yield opened at 0.83 percent and closed just shy of 0.89 percent, hitting an intra-week high of 0.97 percent on Tuesday. The 1 percent mark remains an important level to watch, particularly with additional discussion of stimulus. The 30-year opened at 1.67 percent, gaining 3 basis points on the week, while the 2-year opened at 0.18 percent.
Weekly Market Update, November 9, 2020
Last week saw a drop in yields as a result of uncertainty regarding the election and the pandemic. The 10-year Treasury yield opened at 0.86 percent and hit an intra-week low just shy of 0.75 percent on Wednesday before closing at 0.82 percent. The 10-year lost nearly 4 basis points (bps) on the week. The 30-year yield opened at 1.64 percent while the 2-year opened at 0.15 percent. The 30-year came down by 4 bps.
Weekly Market Update, November 2, 2020
The top-performing sectors were real estate, energy, and materials. Additional stimulus from the federal government may lead to higher inflation expectations, from which these sectors are best positioned to benefit.