| Wednesday, July 5, 2023 |
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MANAGING DIRECTOR: |
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US Treasury Market |
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| Date | 1 mo | 3 mo | 6 mo | 1 yr | 2 yr | 3 yr | 5 yr | 7 yr | 10 yr | 20 yr | 30 yr |
| 06/28/23 | 5.09 | 5.34 | 5.44 | 5.32 | 4.71 | 4.32 | 3.96 | 3.84 | 3.71 | 3.99 | 3.80 |
| 06/29/23 | 5.13 | 5.33 | 5.46 | 5.39 | 4.86 | 4.48 | 4.12 | 3.98 | 3.83 | 4.10 | 3.90 |
| 06/30/23 | 5.14 | 5.29 | 5.43 | 5.41 | 4.90 | 4.52 | 4.15 | 3.99 | 3.84 | 4.07 | 3.86 |
| 07/03/23 | 5.18 | 5.30 | 5.44 | 5.42 | 4.94 | 4.58 | 4.19 | 4.03 | 3.86 | 4.08 | 3.87 |
| 07/04/23 | 5.18 | 5.34 | 5.49 | 5.42 | 4.94 | 4.58 | 4.19 | 4.03 | 3.86 | 4.08 | 3.87 |
The data in the table above is static as of the time it was pulled, so rates may have changed. Treat all data in this table and PMR as indications only and availability is always subject to change.
This information was pulled manually from sources we believe to be reliable. New source, as of 12/12/2022, Bloomberg, L.L.P. As of: close of business 7/4/2023
Cash Flowing Monster Spreads to Consider
As you all know, we too are a community bank and understand better than anyone in our bond business your current liquidity situation, as we are experiencing the same thing. However, it is our duty to continue to share ideas we believe offer value in today’s market.
If you happen to have the ability to take advantage of these great yields in today’s market, the Agency MBS market is offering MONSTER spreads. With the FDIC liquidation for failed institutions winding down and the Fed maintaining their stance on shrinking their MBS portfolio, we believe spreads have blossomed nicely.
Agency MBS currently offer the best spreads of all sectors along with solid cash flow characteristics. More specifically, the 15YR 5.50% Coupon Pools are currently the best combination of reasonable extension and limited premium risk. We encourage banks to consider the following structure while spreads are at these very attractive levels. Please see the details below on a pool currently available in today’s market and let your CCB Rep know if you have any interest or thoughts:
If you happen to have the ability to take advantage of these great yields in today’s market, the Agency MBS market is offering MONSTER spreads. With the FDIC liquidation for failed institutions winding down and the Fed maintaining their stance on shrinking their MBS portfolio, we believe spreads have blossomed nicely.
Agency MBS currently offer the best spreads of all sectors along with solid cash flow characteristics. More specifically, the 15YR 5.50% Coupon Pools are currently the best combination of reasonable extension and limited premium risk. We encourage banks to consider the following structure while spreads are at these very attractive levels. Please see the details below on a pool currently available in today’s market and let your CCB Rep know if you have any interest or thoughts:
This information is intended for institutional investors only. The material provided in this document/presentation is for informational purposes only and is intended solely for private use. Past performance is not indicative of future results. This material is not intended as an offer or solicitation for the purchase or sale of any financial instruments.
•Not FDIC Insured •No Bank Guarantee •May Lose Value