Daily Market Color April 20, 2018Treasurys Yields Continue Higher as Oil Rally Stalls Trump Weighs in on Oil This morning President Trump expressed his disapproval with the recent rise in oil prices which has seen futures touch their highest levels in the past three years. “Looks like OPEC is at it again,” Trump commented on Twitter, “Oil prices are artificially Very High! No good and will not be accepted!” His post was made after a meeting between OPEC and Russian oil ministers in Saudi Arabia concluded earlier today, with all parties acknowledging success in their goal to eliminate the global supply glut which had held back prices over the past three years, but also planning to continue on with further production cuts. “We have seen prices significantly higher in the past, twice as much as where we are today,” Saudi Energy Minister Khalid Al-Falih said in support of the program. WTI crude touched as high as $69.40/barrel before settling back following the comments from Trump to its current level of $68.30/barrel. 10-Year Yield Inches Closer to 3% US Treasurys extended yesterday’s selloff, as yields/swap rates climbed 2-6bps across the curve in a bear-steepening pattern. The 10-year note yield is currently trading near 2.96%, its highest mark in the past two months as the critical 3% resistance level stayed untouched (dating back to January 2014). Major US stock indices struggled again in the today’s session, giving back the remaining gains achieved earlier this week. The tech-heavy Nasdaq experienced the worst of the losses, down 1.3%, while the S&P 500 and DJIA traded roughly 0.9% lower. The US dollar rose to its highest mark of the month, up 0.5% against major currencies and highlighted by a 0.4% increase against the British pound, which was weighed down by dovish comments from Bank of England Governor Mark Carney.