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Bonds Back to Late Morning Levels

US TSY FUTURES
Tsy futures trading mixed, bonds still weaker but see-sawing near late morning levels in lead-up to the March FOMC minutes -- yield curves steeper across the board.
  • Focus on speed/pace of balance sheet run-off.
    • From Fed Chair Powell Q&A on FOMC: “We made excellent progress toward agreeing on the parameters of a plan to shrink the balance sheet. And I’d say we’re now in a position to finalize and implement that plan so that we’re actually beginning runoff at a coming meeting…as soon as our next meeting in May….I’m sure there will be a more detailed discussion in the minutes to our meeting that come out in three weeks where I expect that it will lay out the parameters of what we’re looking at.”

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