November 4, 2021 Headlines

November 4, 2021 Headlines Treasury yields are lower across the curve as global markets digest yesterday’s FOMC meeting. There were no major surprises from yesterday’s official statement or Powell press conference. Tapering will begin in November at a pace of $15...

November 3, 2021 Headlines

November 3, 2021 Headlines The curve is flattening ahead of today’s Fed meeting where the central bank is expected to announce the start of its pull back from Treasury and MBS markets. The general consensus is that the Fed will scale back its net purchases of...

November 2, 2021 Headlines

November 2, 2021 Headlines Front-end Treasury yields are down 2-3 basis points this morning after Australia’s central bank head pushed back against early rate hikes being priced in by the markets. U.S. equity futures are essentially unchanged 90 minutes before the...

November 1, 2021 Headlines

November 1, 2021 Headlines US Treasuries continue to sell off on decreased volume ahead of Wednesday’s Federal Reserve announcement. After 19-months of quantitative easing, the institution is expected to taper asset purchases and withdraw stimulus. At the same time, a...

October 29, 2021 Headlines

October 29, 2021 Headlines The sell-off continues in Treasuries this morning, led by the front-end of the curve. The 2-year to 5-year part of the curve is up 5-6 basis points after inflation readings in the Eurozone rose to a fresh 13-year high in October. Inflation...

October 28, 2021 Headlines

October 28, 2021 Headlines The front-end of the Treasury curve remains under selling pressure on speculation that central banks will have to initiate rate hikes sooner than expected due to inflation worries. The 3-year yield is up 3 basis points this morning to 0.80%,...

October 27, 2021 Headlines

October 27, 2021 Headlines Long-end Treasury yields are lower to start the day, but front-end yields are slightly higher again today as investors remain cautious ahead of several upcoming central bank meetings. In Washington, media reports suggest that several...

October 26, 2021 Headlines

October 26, 2021 Headlines U.S. equity futures are higher to start the day on corporate earnings optimism, and in Treasuries, front-end and intermediate yields are 1-2 basis points higher. Case-Shiller home prices will be released later this morning, and the 20-city...

October 25, 2021 Headlines

October 25, 2021 Headlines The week begins with more steepening pressure in the Treasury market, with long-end yields up 2-4 basis points in early trading. Inflation worries remain at the forefront, and oil and gasoline futures are up more than 1% on the day. A...

October 22, 2021 Headlines

October 22, 2021 Headlines Treasuries have caught a bid this morning with the curve 1 to 3 bps lower. US equity futures are in the green despite some mixed earnings results. An unexpected interest payment made by Evergrande helped to boost equity markets, but the...

October 21, 2021 Headlines

October 21, 2021 Headlines The directional bias for Treasury yields continues to be higher and steeper, with yields 2 basis points higher across the curve following a relatively quiet overnight trading session. Inflation and monetary policy remain the major themes in...

October 20, 2021 Headlines

October 20, 2021 Headlines Treasury prices are a bit higher across the curve to start the day, and U.S. equity index futures are little changed ahead of the open. One of the most hawkish policymakers at the ECB – German central bank chief Jens Weidmann – is stepping...

October 19, 2021 Headlines

October 19, 2021 Headlines Treasuries are little changed to start the day, with a modest reversal of yesterday’s bear steepening trade. Inflation and Fed rate policy expectations have dominated trading activity in recent days/weeks, and the increase in...

October 18, 2021 Headlines

October 18, 2021 Headlines The October bear flattening trend for the Treasury curve ratcheted up overnight on fresh hawkish comments from ECB and BoE leaders. The 2-year note yield is at 0.44%, up from 0.22% just prior to the September 22 FOMC meeting, and the 5-year...

October 15, 2021 Headlines

October 15, 2021 Headlines This week’s curve flattening trend in the Treasury market reversed somewhat overnight amid improved risk sentiment and anticipation of next week’s new supply. Long-end yields are up 3-4 basis points (bps) on the morning so far but still down...

October 14, 2021 Headlines

October 14, 2021 Headlines The belly of the curve is rallying this morning with 3yr to 5yr Treasuries 2 bps lower. Equity futures are up on the back of a better-than-expected jobless claims number and encouraging PPI numbers. 293,000 individuals filed for unemployment...

October 13, 2021 Headlines

October 13, 2021 Headlines Headline CPI growth was just above expectations in September at +0.4% m/m, boosted by higher energy and food costs. Excluding those categories, growth in the core index was in line with expectations at +0.2% m/m. On a year-over-year basis,...

October 12, 2021 Headlines

October 12, 2021 Headlines The Treasury curve is twisting this morning, with short and intermediate yields higher and long-end yields lower, and equity index futures are pointing to a slightly higher open for U.S. stocks. The House is scheduled to vote today on a...

October 8, 2021 Headlines

October 8, 2021 Headlines Treasury yields were higher overnight on firmer oil prices and pro-risk sentiment in Asia following the Senate debt ceiling agreement, but yields are now lower on the day in the immediate aftermath of a disappointing September jobs report....

October 7, 2021 Headlines

October 7, 2021 Headlines Risk markets have traded better ever since reports surfaced yesterday afternoon that Republicans had offered a deal to Democrat leaders that would temporarily lift the debt ceiling. European stocks have been further boosted by declining...