Today’s Trading – S&P Sets Another Record High as Treasury Yields Rise Following Sunday’s French Election
May 8, 2017
Treasury yields rose Monday, reversing an overnight (Sunday) move lower of yields in Germany and France following Emmanuel Macron’s election as France’s next president. Yields jumped swiftly as U.S. trading began with the 2-year yield climbing 2.0 bps on the day (1.33%) and the 10-year yield 3.8 bps higher (2.39%) by the close. An extra 1.06% for holding a 10-year Treasury over 2-year debt was the most in nearly two weeks. The Dollar gained as the Euro turned lower following Sunday’s French election. However, the big move in the Euro/Dollar currency cross following the first round of the French presidential election (April 23) remains intact and the Euro is nearly 3% stronger against the Dollar than one month ago. The S&P eked out another record high close (+0.004%) thanks to a last minute rally that helped both the Dow and S&P turn positive for the day. The Nasdaq also notched another record-high close. Crude prices were volatile again but managed to add to Friday’s gains on hopes OPEC will extend their recent cuts past June.