US treasury yields trade flat in Asia, bullish positions drop

Treasury yields in the US trade flat in Asia after having declined on Friday on the back of a dismal US retail sales release.

The yield on the benchmark 10-yr Treasury note fell to 1.48% from 1.563%. The yield now trades around 1.51%. On similar lines, the 2-yr yield, which closely tracks short-term interest rate expectations, dropped to a low of 0.678% before recovering to trade around 0.70% in Asia.

Bullish net positions drop for 2nd week

The Commodity Futures Trading Commission (CFTC) data released on Friday showed speculators trimmed bullish positions on the 10-yr Treasury note futures last week for the second straight week.

The non-commercial futures contracts of the 10-year treasury notes, primarily traded by large speculators and hedge funds, witnessed a weekly change of -2,975 net contracts to total a net position of +118,245 contracts in the data reported for August 9th.