1025 ET - The U.S. government shutdown is unlikely to disturb bond markets, LPL Financial's Jeff Buchbinder writes citing historical precedent. The Treasury Department "still makes its coupon payments during a shutdown and has consistently conducted debt auctions," he says. "Shutdowns primarily affect non-essential discretionary spending, but borrowing activities proceed under contingency plans." Buchbinder notes that shutdowns reflect negatively on U.S. sovereign bond rating. However, historically "a government shutdown hasn't generally been very eventful for the bond market." He adds that in previous shutdowns, the 10-year Treasury yield declined. The benchmark is falling after ADP reported a contraction of 32,000 in private payrolls in September. (paulo.trevisani@wsj.com; @ptrevisani)

(END) Dow Jones Newswires

October 01, 2025 10:25 ET (14:25 GMT)

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