Core Viewpoint - US Treasury bonds experienced narrow fluctuations on Monday, with the yield curve steepening further, continuing recent trends [1][2] Group 1: Market Movements - Two large trades in futures occurred in the morning, pushing the 2s30s spread to nearly 135 basis points, the steepest level since November 2021 [1][2] - Short-term yields rose by 1-2 basis points compared to the previous trading day, while long-term yields saw slight increases [1][2] - The 2s10s and 5s30s spreads widened by approximately 1.2 basis points and 1.5 basis points, respectively, due to the continued outperformance of short and mid-term securities [1][2] Group 2: Options Market Activity - In the Treasury options market, investors bought call options betting on a decline in the 10-year yield to around 4%, with a volume close to 88,000 contracts for a March expiration at a strike price of 113.50 [1][3] - The volume of US Treasury futures was about 80% of the 10-day average by 3 PM, as investors awaited the delayed release of the November employment report and October retail sales data [1][3] Group 3: Yield Rates - As of 3:10 PM, the yield rates were as follows: 2-year at 3.5056%, 5-year at 3.733%, 10-year at 4.1821%, and 30-year at 4.8507% [2][3] - The spread between the 5-year and 30-year yields was reported at 111.59 basis points, while the spread between the 2-year and 10-year yields was at 67.44 basis points [2][3]