Market Synopsis for 11/2 -11/7/2025

During the week of November 2–7, 2025, the bond market saw a modest rise in U.S. Treasury yields as investors remained cautious amid ongoing inflation concerns and questions about economic momentum. The 2-year Treasury yield climbed roughly 6 basis points to around 3.63%, while the 30-year yield increased by about 9 basis points to approximately 4.74%. Municipals outperformed Treasuries during the week, as Muni-to-Treasury ratios declined across maturities. Overall, the fixed-income market entered a more cautious phase, with yields inching higher and credit spreads drifting wider. While the search for income continues to support demand, investors are increasingly balancing attractive yields against the potential downside from inflation, supply pressures, and broader economic uncertainty. For bondholders, particularly those in longer-duration or lower-quality securities, the environment has become less kind, underscoring the need for careful management of both duration and credit exposure.