Free Trial
EURJPY TECHS

Support Remains Intact

EUROZONE ISSUANCE

EGB Supply W/C 7 November, 2022

EUROZONE T-BILL ISSUANCE

W/C 7 November, 2022

BTP TECHS

(Z2) Finds Support

USDJPY TECHS

Support At The 50-Day EMA Remains Exposed

EUROSTOXX50 TECHS

(Z2) Outlook Remains Bullish

Real-time Actionable Insight

Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.

Free Access

J.P.Morgan: Tempting To Add Duration But Remaining Neutral

US TSYS

J.P.Morgan write “10-Year Treasuries have moved from fairly valued following the FOMC meeting last week to about 40bp cheap right now, the largest divergence since early 2021, and one of the largest divergences we have observed over the last 5 years."

  • "All else equal, given this divergence and that OIS forwards are pricing a more hawkish path for the Fed, it would be tempting to add duration at these levels. However, with liquidity conditions still impaired and another round of Treasury supply to digest tomorrow, we are reluctant to move off the sidelines and remain neutral on duration.”
97 words

To read the full story

Why Subscribe to

MarketNews.com

MNI is the leading provider

of news and intelligence specifically for the Global Foreign Exchange and Fixed Income Markets, providing timely, relevant, and critical insight for market professionals and those who want to make informed investment decisions. We offer not simply news, but news analysis, linking breaking news to the effects on capital markets. Our exclusive information and intelligence moves markets.

Our credibility

for delivering mission-critical information has been built over three decades. The quality and experience of MNI's team of analysts and reporters across America, Asia and Europe truly sets us apart. Our Markets team includes former fixed-income specialists, currency traders, economists and strategists, who are able to combine expertise on macro economics, financial markets, and political risk to give a comprehensive and holistic insight on global markets.

J.P.Morgan write “10-Year Treasuries have moved from fairly valued following the FOMC meeting last week to about 40bp cheap right now, the largest divergence since early 2021, and one of the largest divergences we have observed over the last 5 years."

  • "All else equal, given this divergence and that OIS forwards are pricing a more hawkish path for the Fed, it would be tempting to add duration at these levels. However, with liquidity conditions still impaired and another round of Treasury supply to digest tomorrow, we are reluctant to move off the sidelines and remain neutral on duration.”