Treasury Prices Higher
Action Economics: Treasury yields bounced from lows, following stocks' lead after a weak performance and panic overnight. The move squaring move was set in motion before the release of better than expected Q3 productivity data (largest gain since Q3, 2003), though that certainly compounded the short-covering in stocks and long-squaring in bonds. The 10-year yield rebounded above 4.34% from under 4.32%. The curve remains steep at +70 bp on 2s-10s.