Leaning Towards No-Deal Today

Markets buffeted by deal/no-deal stimulus headlines during second half. White House Speaker Pelosi remained optimistic, Sen Shelby expressed no optimism of a deal, while Sen Mitt Romney flat-out opposing $1.8T deal (or more) adding to late sales in equities. Stanza: Sen majority leader McConnell said would hold vote for stimulus if deal reached, vote does not mean pass.

• Astrazeneca vaccine trial to resume in a few days likely contributed to the midday bid in equities. Other salient headlines:
• GOOGLE ACCUSED BY U.S. OF ABUSING MARKET POWER IN LANDMARK CASE, Bbg
• BREXIT - UK PM JOHNSON TELLS GREEK PM: EU HAVE EFFECTIVELY ENDED NEGS, Rtrs
• Little to no react to multiple Fed speakers, Chicago Fed Pres Evans said stepping up asset purchases would have limited effect on already-low borrowing costs now, but the Fed could consider offering further accommodation later in the recovery.
• Trade volumes were about average, TYZ>1.1M after the bell, two-way flow from fast$, prop and bank portfolios in short end.
• The 2-Yr yield is down 0.2bps at 0.1431%, 5-Yr is up 0.2bps at 0.3361%, 10-Yr is up 2.2bps at 0.7907%, and 30-Yr is up 3.8bps at 1.5976%.