Treasury Yields Fall on Jobs Data, Concerns Over Banks

Treasury yields have their sharpest fall in months after payrolls showed signs of slowdown and as Silicon Valley Bank sparks concerns about the health of the financial system amid rising interest rates. The 10-year declines 0.268 percentage point this week to 3.694%, with 0.228 pp lost today. The two-year lost 0.273 pp for the week and 0.314 pp today, to 4.586%. “The combination of [SVB] and modest wages are behind a rush to safety,” Spartan’s Peter Cardillo says in a note, warning that “the safety trade may not be enduring … we do not see a 2008 crises is the makings.” February annual core CPI is expected at 5.5% Tuesday.