Treasury Market Summary
Treasury Market Summary: Wall Street posted small gains on the heels of better than expected data, with the bullish underpinnings from the Phase One trade deal and still accommodative Fed policy posture. Though stocks lost altitude, new highs again were hit. Concurrently, Treasuries eroded as risk appetite improved through the session. Yields were fractionally higher late in the day, edging up from richer levels at the open. Trading was very narrow, however, with the long dated Treasury volatility index the lowest in 6 months. The strength in the housing starts and industrial production reports featured in an otherwise lackluster day. The Fed's Kaplan, more of a hawk who votes in 2020, said he thinks policy should remain on hold in 2020 unless there is a "material change" in the outlook. Rosengren, a hawkish voter this year, also expects policy to be on hold for some time. View the summary.