Source: US Dept. of Treasury End of Day
• Yields remained unchanged in the front end of the curve as the two-year Treasury note finished the week unchanged at 0.16% while longer maturities experienced a modest increase in yield with the five-year note increasing by four basis points to 0.85%.
• Propelled by stimulus, warmer weather, and easing lockdown restrictions, real spending eclipsed its pre-pandemic peak, but the labor market continues to struggle with 8 million workers still sidelined.
• The Fed’s assessment of the economy continues to improve but they have repeatedly made clear, as they did in conclusion of their meeting last week, that they will maintain their easy policy with no changes, until a full and inclusive recovery of the labor market takes place.
