Trial now

Stronger In a Range


Weaker In A Range


Ending The Week On A Soft Note


Bearish Risk Growing


Stronger, But Still Vulnerable


SP500 PE Ratio vs. CPI Inflation

Sign up now for free access to this content.

Please enter your details below and select your areas of interest.

A narrow re-open for T-Notes, trading around late NY levels, last +0-00+ at 132-13.

  • As a reminder, Tsys were rangebound on Tuesday, with T-Notes failing to make a meaningful break below Monday's low despite a couple of attempts, with the contract finishing NY trade just shy of best levels. Cash Tsys were little changed to a touch firmer come the bell, with the wings underperforming, while the 5- to 7-Year sector richened by ~2.0bp.
  • Tier 1 news flow was relatively limited, with a light bid seen on the back of softer than expected U.S. housing starts data, allowing T-Notes to tag fresh session highs, ultimately setting an upper boundary for the contract on the day.
  • A negative day for equities and some downwards pressure in crude oil (linked to later dispelled chatter of a significant breakthrough in the Iranian talks) also provided bouts of (modest) demand for Tsys.
  • Elsewhere, brisk $ IG issuance continued, with participants now focused on Wednesday's 20-Year Tsy auction.
  • A quick look at Wednesday's Asia-Pac docket reveals nothing in the way of notable tier 1 risk events. In addition to the aforementioned round of 20-Year Tsy supply, Wednesday's U.S. docket includes the release of the minutes from the latest FOMC decision, which will be supplemented by commentary from Fed's Quarles, Bostic & Bullard.