Despite Tuesday's bond supply, Treasury traders are driving bond yields lower today as tactical trading and short covering take precedence.
Yields on Treasuries are down across the curve, with 3s decreasing by ~2bps, indicating strong investor demand even after a $58 billion note sale.
Investment-grade credit remains attractive to investors, with strong coverage and no concessions in the secondary market, as real yields between 5% to 7% make IG paper appealing.