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Packet 20231016
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3/21/2024 5:56:02 PM
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12/26/2023 2:59:43 PM
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CM City Clerk-City Council
CM City Clerk-City Council - Document Type
Staff Report
Document Date (6)
10/16/2023
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Bond Yields <br />Source: Bloomberg Source: Bloomberg <br />0.0% <br />1.0% <br />2.0% <br />3.0% <br />4.0% <br />5.0% <br />6.0% <br />US Treasury Note Yields <br /> 2-Year <br /> 5-Year <br /> 10-Year <br />Yield (%)0.0% <br />1.0% <br />2.0% <br />3.0% <br />4.0% <br />5.0% <br />6.0% <br />US Treasury Yield Curve <br />Aug-23 <br />May-23 <br />Aug-22Yield (%)At the end of August, the 2-year Treasury yield was 137 basis points higher, and the 10-Year Treasury yield was about 91 basis points <br />higher,year-over-year.The inversion between the 2-year Treasury yield and 10-year Treasury yield narrowed to -76 basis points at August <br />month-end versus -92 basis points at July month-end. The average historical spread (since 2003)is about +130 basis points. The inversion <br />between 3-month and 10-year Treasuries narrowed to -134 basis points in August from -145 basis points in July. The shape of the yield <br />curve indicates that the probability of recession persists. <br />13
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