MNI BRIEF: Canada Commits To Just One Of Three Fiscal Anchors

MNI BRIEF: German Insolvency Rate Slows, 2025 Pickup Expected

MNI BRIEF: Brazil Not Even Close To Fiscal Dominance - David

CORRECTED-MNI BRIEF: Brazil Inflation Rises To 4.87% In Nov

MNI China Daily Summary: Tuesday, December 10

MNI: USDA: 2024/2025 CORN PRODUCTION EST 15.14B BSL

EZ/UK T-Bill Calendar: 12-Month BOT Auction on Wednesday

EZ/UK Bond Supply Calendar: 4.25% Jul-34 Gilt Due Wednesday

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

BONDS: NZGBS: Cheaper With US Tsys After Strong ADP Data

BONDS
BulletMarketsFixed Income Bullets

In local morning trade, NZGBs are 2-3bps after the US tsys curve bear-steepened on stronger-than-expected ADP data, with US yields finishing 3-6bps higher, largely reversing Tuesday's moves.

  • ADP employment printed at 143k (cons 125k) after a slightly upward-revised 103k (initial 99k) in August. The data has had mixed success at tracking private payrolls growth, undershooting private payrolls growth by 15k in August but before that overshooting by 37k in July and 58k in June.
  • Today’s US calendar will see Weekly Claims, Factory/Durable Goods Orders and ISM Services, followed by Friday's headline Non-Farm Payrolls for September.
  • US nonfarm payrolls growth is expected to have firmed marginally to 150k in September although some analysts also look for upward revisions to August.  (See MNI Employment Preview here)
  • Swap rates are 1bp lower to 1bp higher with the 2s10s curve steeper.
  • RBNZ dated OIS pricing is little changed. A cumulative 93bps of easing is priced by year-end.
  • The calendar is light for the remainder of the week, with just ANZ Commodity prices today.
  • Today, the NZ Treasury plans to sell NZ$250mn of the 1.50% May-31 bond, NZ$200mn of the 4.25% May-34 bond and NZ$50mn of the 1.75% May-41 bond.
188 words

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.

In local morning trade, NZGBs are 2-3bps after the US tsys curve bear-steepened on stronger-than-expected ADP data, with US yields finishing 3-6bps higher, largely reversing Tuesday's moves.

  • ADP employment printed at 143k (cons 125k) after a slightly upward-revised 103k (initial 99k) in August. The data has had mixed success at tracking private payrolls growth, undershooting private payrolls growth by 15k in August but before that overshooting by 37k in July and 58k in June.
  • Today’s US calendar will see Weekly Claims, Factory/Durable Goods Orders and ISM Services, followed by Friday's headline Non-Farm Payrolls for September.
  • US nonfarm payrolls growth is expected to have firmed marginally to 150k in September although some analysts also look for upward revisions to August.  (See MNI Employment Preview here)
  • Swap rates are 1bp lower to 1bp higher with the 2s10s curve steeper.
  • RBNZ dated OIS pricing is little changed. A cumulative 93bps of easing is priced by year-end.
  • The calendar is light for the remainder of the week, with just ANZ Commodity prices today.
  • Today, the NZ Treasury plans to sell NZ$250mn of the 1.50% May-31 bond, NZ$200mn of the 4.25% May-34 bond and NZ$50mn of the 1.75% May-41 bond.