Beyond the Headlines

July 17, 2019 HeadlinesTreasury prices are slightly higher this morning following uninspiring corporate earnings combined with weak economic data out of Asia (Singaporean exports experienced the largest drop in six years). Additionally, comments from President Trump...

July 16, 2019 HeadlinesAfter reaching a new high on Monday, S&P 500 futures trimmed overnight gains and US Treasuries are weaker on the back of better than expected retail sales. The headline US retail sales number showed a .4% increase MoM beating survey...

July 15, 2019 HeadlinesTo start the overnight session, there was no cash US Treasury trading with Japan closed for a holiday. However, futures were open and initially traded lower on better than expected economic data out of China. Both Chinese industrial production...

July 12, 2019 HeadlinesTreasuries are little changed this morning following yesterday’s bear steepening, which saw long-end yields rise 8 bps. Yesterday’s increase in Treasury yields was initially sparked by higher than expected core CPI readings for June, and the...

July 11, 2019 HeadlinesTreasury yields bounced higher following the release of the June CPI report, which showed higher than expected growth in core prices.  Asian equity markets were generally higher overnight in the wake of Powell’s dovish comments yesterday, and...

July 10, 2019 HeadlinesUS Treasuries weakened initially during the overnight session on the back of strong economic data from the European Union. Both French and Italian industrial production numbers came in better than expected. However, the move began to reverse...

July 9, 2019 HeadlinesTreasury prices are slightly lower this morning following an increase in supply of European sovereign debt. Overnight trading was fairly muted as there was little in the way of data or news coming out of Europe or Asia. US equity markets are...

July 8, 2019 HeadlinesThere was a slight risk-off sentiment in the overnight session with both equities (S&P500 -.26%) and US Treasury yields set to open lower. The main headline over the weekend was Deutsche Bank’s restructuring plans as the bank plans to exit...

July 5, 2019 HeadlinesFollowing the Non-farm Payrolls report, the 10-year US Treasury yield rebounded back above the 2% level as the case for a Federal Reserve rate cut weakened. The headline employment number rose more than expected at 224k with a mild downward...

July 3, 2019 HeadlinesUS Treasuries extended gains overnight in reaction to dovish appointees to two of the world’s major central banks. The European Central Bank nominated Christine Lagarde for President and analysts anticipate continued easy money policies if she is...

July 2, 2019 HeadlinesTreasuries bull-steepened overnight in response to weak European data and hawkish comments from the ECB in which policymakers stated that they are in “no rush” to cut rates in July. Equity markets are mixed as the post trade truce euphoria has...

July 1, 2019 HeadlinesGlobal equity indices are higher on the U.S./China trade truce, which was the general expectation heading into the G-20 summit in Japan. Treasury yields rose overnight in response to the improved tone in risk markets, but weaker manufacturing...

June 28, 2019 HeadlinesGlobal markets are relatively quiet this morning ahead of the Trump/Xi meeting later tonight at the G-20 summit in Japan. Treasury prices are essentially unchanged on the day, and S&P 500 futures are up 0.23%. President Trump has made...

June 27, 2019 HeadlinesThe G-20 summit begins tomorrow pushing US-China trade talks to the forefront.  The meeting between President Trump and Xi on Saturday remains a key event for the markets to see if either tariffs or negotiations will resume. At the beginning of...

June 26, 2019 HeadlinesUS Treasuries bear flattened overnight following through on yesterday’s comments from Fed Chairman Powell and St Louis Fed President Bullard. In Powell’s speech, the Chairman stressed the independence of the central back and that the case for a...

June 25, 2019 HeadlinesUS Treasuries ended the overnight session essentially unchanged after reversing an initial rally on new Iranian and Chinese headlines. In response to the new sanctions, the Iranian government permanently closed off any chance of a diplomatic...

June 24, 2019 HeadlinesTreasury yields are slightly lower and the curve flatter to start the week. Market participants continue to assess geopolitical risks with Iran and trade risks with China, but for now, risk markets appear to be shaking off some of these...

June 21, 2019 HeadlinesThe rally in Treasuries is relenting this morning following the release of global PMI data, with yields little changed across the curve. The European flash PMI readings for June were better than expected, if only slightly, but at this point in...

June 20, 2019 HeadlinesFinancial markets continue to react to yesterday’s FOMC meeting, with Treasury yields grinding lower and global equity markets are higher (S&P 500 futures +1% currently).  This week’s headlines have been positive for risk markets.  It began...

June 19, 2019 HeadlinesTreasuries are giving up some of yesterday’s gains ahead of today’s Fed meeting, and S&P 500 futures are little changed ahead of the open. Yesterday’s trading activity was driven largely by ECB President Mario Draghi’s ultra-dovish press...