Treasury Action: yields rolled over from highs
Treasury Action: yields rolled over from highs with the latest downdraft on stocks, led lower by tech. Seems like real and leveraged funds are quick to the selling trigger on long-standing FAANG momentum stocks, according to sources, compounding losses on highly weighted shares like Apple after its iPhone production slowdown. NASDAQ comp is 2.5% lower. The 2-year yield stalled at 2.83% earlier and rolled over to 2.77%; the 5-year halted ahead of 2.91% before easing to 2.86%; the 10-year touched 3.095% highs then slumped to 3.055% (below 3.08% pivot with S&P back under 2.7k); while the 30-year yield nearly touched 3.36% before diving to 3.32%. That has left yields 1.3-3.5 basis points lower outside of the bond yield, which is fractionally higher. The 5s-30s spread has steepened 2.8 bp to +46.2 bp.