17 Januari 2020
Treasury yields climbed on Thursday after strong economic data boosted investors" risk appetite. The yield on the benchmark 10-year Treasury note, which moves inversely to price, was higher at around 1.812%, while the yield on the 30-year Treasury bond was also higher at around 2.262%. Yields popped after data from the Commerce Department showed retail sales rose 0.3% in December, matching analyst expectations. The latest weekly jobless claims also came in at 204,000, lower than the 216,000 expected. (CNBC) The U.S. Treasury will start issuing 20-year bonds in the first half of 2020, expanding its roster of securities as the government seeks ways to fund a ballooning deficit. Institutional investors have been clamoring for more longer-dated, risk-free securities that offer some nominal yield, amid a global total of $11 trillion of debt with negative rates. Japanese officials have discussed adding a 50-year security, something the U.S. opted against in its announcement. (Bloomberg) Source: Danareksa Sekuritas Debt Research Photo by Josh G on Unsplash