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Second Day Of Double Digit Increases In BAX Yields

CANADA
  • BAX futures yields continue to move higher, up ~14bps through most of the white pack before easing to high single digit increases by the end of the reds.
  • Yesterday’s CPI continues to give it legs to rise faster than moves seen in Eurodollars, for a very large 28bp increase in BAZ2 in two days.
  • It could be hard to top this increase with Powell (currently on ongoing remarks at separate event before 1300ET IMF panel) and Macklem (1900ET) speaking later, leaving potential for some pullback if they fail to match market hawkishness.

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