Free Trial

FTN Financial's Jim Vogel said the 7Y....>

US TSYS/7Y
US TSYS/7Y: FTN Financial's Jim Vogel said the 7Y auction "award at 2.130%
surprised us and we were bullish on today's sale, arriving 1.4bp thru the WI bid
immediately prior to the deadline. It was 2bp through the WI bid 30 mins
earlier."
- He adds indirect buyers "returned after taking some time away from the month's
earlier big offerings. Their 70.6% plus a whopping 19.0% from directs left
dealers short with only 10.4% of the deal. Award at high yld of only 11.6% while
bid/cover of 2.70x was effectively tied for the best of 2017. Direct
participation was the highest since last December." 
- He adds Trsy mkt sentiment "started from the bottom and is slowly pulling
itself up. Wholesale selling was an overnight event, replaced by cautious buying
in the short end due to better technicals (although FTN doesn't care for 3-yr
fundamentals). The curve steepened throughout the morning, first in bearish
fashion and now in a neutral approach. Only the 30-yr is slow to participate, up
1.4bp after a 12bp selloff from early Wednesday through overnight flows."

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.
}); window.REBELMOUSE_ACTIVE_TASKS_QUEUE.push(function(){ window.dataLayer.push({ 'event' : 'logedout', 'loggedOut' : 'loggedOut' }); });