{"id":145098,"date":"2020-12-31T23:12:00","date_gmt":"2020-12-31T20:12:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/2-year-treasury-yield-ends-2020-with-steepest-annual-drop-since-2008-crisis\/"},"modified":"2020-12-31T23:12:00","modified_gmt":"2020-12-31T20:12:00","slug":"2-year-treasury-yield-ends-2020-with-steepest-annual-drop-since-2008-crisis","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/2-year-treasury-yield-ends-2020-with-steepest-annual-drop-since-2008-crisis\/","title":{"rendered":"#\n  2-year Treasury yield ends 2020 with steepest annual drop since 2008 crisis"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_89 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6af6910a010a7\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6af6910a010a7\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/2-year-treasury-yield-ends-2020-with-steepest-annual-drop-since-2008-crisis\/#The_10-year_Treasury_note_shed_nearly_1_percentage_point_in_2020_representing_its_sharpest_annual_fall_since_2011\" >The 10-year Treasury note shed nearly 1 percentage point in 2020, representing its sharpest annual fall since 2011<\/a><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/2-year-treasury-yield-ends-2020-with-steepest-annual-drop-since-2008-crisis\/#How_are_Treasurys_performing\" >How are Treasurys performing?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-6'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/2-year-treasury-yield-ends-2020-with-steepest-annual-drop-since-2008-crisis\/#Whats_driving_the_Treasury_market\" >What\u2019s driving the Treasury market?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-6'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/buradabiliyorum.com\/en\/2-year-treasury-yield-ends-2020-with-steepest-annual-drop-since-2008-crisis\/#What_did_market_participants_say\" >What did market participants say?<\/a><\/li><\/ul><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/buradabiliyorum.com\/en\/2-year-treasury-yield-ends-2020-with-steepest-annual-drop-since-2008-crisis\/#Sunny_Oh\" >Sunny Oh<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong>#<br \/>\n  2-year Treasury yield ends 2020 with steepest annual drop since 2008 crisis<br \/>\n<\/strong>&#8221;<\/p>\n<h2 class=\"article__subhead\" itemprop=\"alternativeHeadline\"><span class=\"ez-toc-section\" id=\"The_10-year_Treasury_note_shed_nearly_1_percentage_point_in_2020_representing_its_sharpest_annual_fall_since_2011\"><\/span>\n  The 10-year Treasury note shed nearly 1 percentage point in 2020, representing its sharpest annual fall since 2011<br \/>\n<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><\/p>\n<div class=\"column column--full article__content\">\n<div id=\"js-article__body\" class=\"article__body article-wrap at16-col16 barrons-article-wrap\" itemprop=\"articleBody\" data-sbid=\"WP-MKTW-0000115339\">\n<div class=\"barrons-article-ad-wrapper\">\n<div data-track=\"barrons-article-ad-wrap\" class=\"barrons-article-ad sticky_item\">\n<div class=\"barrons-main-article-ad-target sticky_target body_ad\" aria-hidden=\"true\"><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p>       U.S. Treasury yields saw modest moves Thursday to close out the final trading session of a year marked by a global viral epidemic and extraordinary fiscal and monetary policy actions.  <\/p>\n<p> Despite expectations that yields might eventually climb in 2020, they mounted their steepest annual yield slides in years, reflecting heady <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>etite for the perceived safety of government bonds. <\/p>\n<div class=\"paywall\">\n       The government debt market ended an hour early, at 2 p.m. Eastern Thursday, and will remain closed Friday for New Year\u2019s Day.<\/p>\n<h6><span class=\"ez-toc-section\" id=\"How_are_Treasurys_performing\"><\/span>How are Treasurys performing?<span class=\"ez-toc-section-end\"><\/span><\/h6>\n<ul class=\"articleList\">\n<li>\n      The 10-year Treasury note yieldBX:TMUBMUSD10Y shed 1.3 basis points to 0.913%. For the week, the benchmark bond shed 2 basis points, but gained 6.8 basis points in December as COVID vaccines rolled out and the outlook for the economy improved. The 10-year gained 23.6 basis points for the quarter, marking its largest quarterly rise since 2018, even as it notched the largest one-year yield decline, 99.6 basis points, nearly a full percentage point, since 2011. <\/p>\n<\/li>\n<li>\n      The 2-year note rateBX:TMUBMUSD02Y was down 0.6 basis point to 0.119%. For the week, the note slipped 0.2 basis point, while retreating 2.8 basis points on the month and declining 0.4 basis point in the last three months of the year. For all of 2020, the 2-year declined 1.44 percentage points, representing the sharpest annual yield slump for the note since 2008.<\/p>\n<\/li>\n<li>\n      The 30-year bond yieldBX:TMUBMUSD30Y fell 1.8 basis points to 1.642%. For the week, the so-called long bond gave up 2.7 basis points and booked a 6.8 basis point advance in December. For the year, the bond declined 73.6 basis points, for its sharpest yearly slide since 2014, mitigated partly by a 18.9 basis point  climb in 2020\u2019s final three months. <\/p>\n<\/li>\n<\/ul>\n<h6><span class=\"ez-toc-section\" id=\"Whats_driving_the_Treasury_market\"><\/span>What\u2019s driving the Treasury market?<span class=\"ez-toc-section-end\"><\/span><\/h6>\n<p>Bond-market activity was limited in holiday-thinned trading Thursday, with investors eyeing U.S. labor-market data.<\/p>\n<p>U.S. data showed\u00a0first-time jobless benefit claims unexpectedly declined by 19,000 to 787,000 last week.\u00a0Economists surveyed by MarketWatch had forecast initial claims to rise to 835,000. State continuing jobless claims dropped 103,000 to 5.22 million.<\/p>\n<p>While initial jobless claims fell for a second week, they remain high compared with any week before the coronavirus pandemic. The prior record of 665,000 set in 2009, was easily shattered early in the pandemic when new claims peaked at a whopping 6.87 million in the last week of March this year.<\/p>\n<p>Treasurys are ending a turbulent year that has seen the 10-year Treasury yield plummet to all-time lows, and then steadily rebound. Analysts now forecast a gradual rise in the benchmark bond yield as the economy normalizes, but an accommodative Federal Reserve is likely to cap rate moves.<\/p>\n<p>Markets were also looking ahead to the Georgia Senate runoff elections.  Though a surprise victory by Democrats in both seats could allow a Biden administration to loosen the fiscal taps and widen the budget deficit, which could heap bearish pressure on long-term Treasurys, some market participants said the outcome could also spark short-term volatility in risk assets like stocks and bolster haven investments.<\/p>\n<p><strong>See<\/strong>:  Wall Street forecasters see the \u2018gradual reflation story\u2019 lifting bond yields in 2021<\/p>\n<h6><span class=\"ez-toc-section\" id=\"What_did_market_participants_say\"><\/span>What did market participants say?<span class=\"ez-toc-section-end\"><\/span><\/h6>\n<p>\u201cThe possibility of a Democratic Senate was initially considered bond-bearish, but some are now saying it could hurt [risk assets], and drive Treasury prices higher,\u201d said Steve Feiss, managing director of fixed income for Etico Partners, in an interview.<\/p><\/div>\n<\/div><\/div>\n<p><\/p>\n<div class=\"byline article__byline\">\n<p>      <span>By<\/span><\/p>\n<div class=\"author  hasMenu\" data-scrim='{\"type\":\"author\",\"header\":\"Sunny Oh\",\"subhead\":\"The Wall Street Journal\",\"list\":[]}' itemscope itemprop=\"author\" itemtype=\"http:\/\/schema.org\/Person\">\n<h4 itemprop=\"name\"><span class=\"ez-toc-section\" id=\"Sunny_Oh\"><\/span>Sunny Oh<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<\/p><\/div>\n<\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"http:\/\/www.marketwatch.com\/news\/story.asp?guid=%7B21005575-02D4-D4B5-4572-D1C28B5F34B9%7D&#038;siteid=rss&#038;rss=1\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# 2-year Treasury yield ends 2020 with steepest annual drop since 2008 crisis &#8221; The 10-year Treasury note shed nearly 1 percentage point in 2020, representing its sharpest annual fall since 2011 U.S. Treasury yields saw modest moves Thursday to close out the final trading session of a year marked by a global viral epidemic&#8230;<\/p>\n","protected":false},"author":1,"featured_media":85984,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[],"class_list":["post-145098","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/145098","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=145098"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/145098\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/85984"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=145098"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=145098"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=145098"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}