Daily Market Color February 9, 20222-Year Yield Approaches Pre-Pandemic Levels Equities rally as the 2-year yield approaches pre-pandemic levels. The Treasury sell-off eased on the long-end of the curve today propelling equities to rally with both the S&P and Nasdaq posting their best day of the month. Strong demand for the 10-year U.S. Treasury auction led a rally for long-term notes with the 10-year yield retreating 2 bps to close at 1.94%. The short-end continued to sell-off as the yield curve flattened with the 2-year yield approaching pre-pandemic levels closing at 1.36%. Consumer Price Index (CPI) will be released tomorrow at 8:30a EST. Tomorrow, the Labor Department will release January’s CPI and will be investors’ first inflation data point for 2022 data. Analysts estimate a year-over-year headline increase of 7.2% which would be the sixth consecutive month showing an increase in consumer prices.