Economist's Insights

Today’s Trading – The Dollar Gained With Treasury Yields

May 9, 2017

The Dow and S&P turned negative around the lunch hour while the Nasdaq managed to hold its daily gain and record a third consecutive record-high close. The utilities, energy, and materials sectors were the worst performers within the S&P as commodity prices continued to struggle. U.S. crude prices fell 0.5% while gasoline contracts fell 2.0%. An after-market report from the API indicated U.S. inventories of crude likely fell 5.8MM barrels last week which, if confirmed in tomorrow’s official data, would represent the largest drawdown of the year. The same report, however, indicated gasoline inventories likely grew. Treasury yields ended off of session highs but rose roughly 1 bp across the curve. The 2-year yield closed at 1.34%, the 5-year ended at 1.92%, and the 10-year finished at 2.40%. The Dollar gained and is up 1% over the past two sessions