BOC: FULL US TARIFFS WOULD BE HIGHLY DISRUPTIVE TO CANADA

BOC DISCUSSED BOTH A 25BP AND A 50BP CUT AS OPTIONS

BOC'S MACKLEM SAYS HE'S A FAN OF FISCAL GUARDRAILS

MNI China Daily Summary: Wednesday, December 11

MNI BRIEF: Chinese Rail Passenger Numbers Break Record

MNI: PBOC Net Injects CNY37.3 Bln via OMO Wednesday

US EIA: CRUDE OIL STOCKS EX SPR -1.42M TO 422.0M DEC 06 WK

BOC CUTS RATE 50BPS TO 3.25%, SEES GRADUAL APPROACH FROM HERE

MNI: US NOV CPI 0.3%, CORE 0.3%; CPI Y/Y 2.7%, CORE Y/Y 3.3%

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Bear-Steepening Strengthens In Post-20Y Auction Trading, National CPI Tomorrow

JGBS

JGB futures remain in negative territory, -37 compared to the settlement levels, but slightly above the session’s worst levels.

  • In addition to the morning’s Core Machinery Orders and Weekly Investment Flows data, Industrial Production (F) data for November printed in line at -0.9% m/m (-1.4% y/y). Capacity Utilization for November showed 0.3% versus 1.5% prior.
  • The domestic driver for today’s session however has been the poor 20-year JGB auction. The 20-year yield is 2bps cheaper in post-auction trading after the auction low price failed to meet dealer expectations. On a positive note, the cover ratio did increase and the auction tail shortened materially. Today’s auction followed on the heels of suboptimal results at January’s 5-, 10- and 30-year JGB supply.
  • The bear-steepening in the cash JGB curve has intensified in post-auction dealings, with yields flat to 9bps higher. The benchmark 10-year yield is 2.2bps higher at 0.640% versus the Nov-Dec rally low of 0.555%.
  • The swaps curve has also bear-steepened, with swap spreads mixed.
  • Tomorrow, the local calendar sees National CPI data and the Tertiary Industry Index.
BulletMarketsFixed Income BulletsHomepage
BulletMarketsFixed Income BulletsHomepage

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.