The BondBloxx Bloomberg Three Year Target Duration US Treasury ETF is experiencing price movement influenced by recent developments in the U.S. Treasury market. On December 4, 2024, U.S. Treasury yields rose, with the 10-year yield increasing by 6 basis points to 4.277%. This rise in yields comes despite weaker-than-expected private payrolls data for November, which showed an addition of 146,000 jobs, falling short of the 163,000 anticipated by economists. The market is now focused on the upcoming jobs report, expected to show a stronger labor market, which could further influence interest rate expectations and Treasury yields.
Additionally, the return of a positive term premium on Treasury notes is contributing to the upward pressure on yields. The 10-year Treasury yield is nearing the RSM year-end target of 4.20%, with expectations of further increases due to economic growth projections and expansionary fiscal policies. This environment is creating a challenging landscape for shorter-duration Treasury securities, as yields are expected to rise along the long end of the curve, impacting the ETF's underlying assets.
The BondBloxx Bloomberg Three Year Target Duration US Treasury ETF is down 0.08% in pre-market hours on Wednesday, December 4, falling to $48.93.