Trade Optimism Pushes Yields Higher

Today’s source of optimism appears to be centered around the reaffirmation of both China and the U.S. to continue with their new trade relationship despite disagreements in other policy areas. Equity markets will likely open “up” because of it while Treasury prices have slipped lower. The Ten-Year’s yield has risen to about 69 basis points while the Long Bond’s yield is back up to around 1.40%. Crude oil is up slightly to around $42.90 while gold if off about $6 to $1,923.

A little later this morning, investors will be looking at new Housing market data via the FHFA House Price Index and the Case-Shiller report for June. Also out will be the Conference Board’s Consumer Confidence Index and New Home Sales for July.