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

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

MNI: US REDBOOK: DEC STORE SALES +4.2% V YR AGO MO

US Q3 REV NONFARM PRODUCTIVITY +2.2%; Y/Y +2.0%

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

Fed VC Clarida on Taper Talk Weighs on Short End

US TSYS
Shorter-dated Tsys have almost fully unwound today's earlier rally after relatively more hawkish commentary from both Fed Waller then VC Clarida on potential for Fed accelerating taper.
  • Long-end held onto a sizeable rally though, with 10Y yields down -5bps at 1.536% and the 30Y down -6.1bps at 1.907%, driven by European lockdown fears and at weekly lows. Combination has seen a 5bp bull flattening in 2s/10s on the day to 103.7bps, the lowest this week and getting towards the low end of the monthly range.
  • Earlier, BBB passed in the House now moves to the Senate.
  • Heavy overall volumes (TYZ1 >1.9M) tied to surge in Dec/Mar futures rolling (first notice on Nov 30); large selling Eurodollar Whites-Reds EDZ1-EDU3) following Fed VC Clarida comments re: taper debate in Dec.
  • Ahead: Fed minutes on Wed amidst heavy data week including the Nov PMI,PCE/incomes for Oct and the second Q3 GDP print before Thanksgiving on Thursday. Next wk's Tsy auction schedule is front-end focused ahead of Thanksgiving, with 2s, 5s and 7s on offer. Markets see full day Wed, closed Thu and early close Fri.
  • The 2-Yr yield is down 0.4bps at 0.4986%, 5-Yr is down 1.8bps at 1.2018%, 10-Yr is down 5bps at 1.536%, and 30-Yr is down 6.3bps at 1.9059%.
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.