MNI BRIEF: China To Strengthen Policy Easing In 2025: Poliburo

MNI BRIEF: Japan Nov Sentiment, Outlook Indexes Rise

MNI BRIEF: China Nov CPI Slows To 5-Month Low Of 0.2% Y/Y

MNI: PBOC Sets Yuan Parity Higher At 7.1870 Mon; -1.39% Y/Y

MNI: China CFETS Yuan Index Down 0.36% In Week of Dec 6

MNI: PBOC Net Injects CNY13.8 Bln via OMO Monday

MNI JAPAN Q3 GDP REV +0.3% Q/Q; PRELIM +0.2%; MEDIAN +0.2%

MNI: UNIV OF MICHIGAN CONSUMER SENTIMENT PRELIMINARY DEC INDEX 74.0

CANADA NOV IVEY PURCHASING MANAGERS INDEX 52.3 SA

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

Market Roundup: GDP Contraction Cools Hawkish Forward Views

US TSYS
Rates and stocks rallied after this morning's recession metric cooled: U.S. GDP contracted by 0.9% in the second quarter, far below analyst expectations for a 0.4% gain, driven by decreases in inventory investment, housing and government spending, according to Wed's advance est by Bureau of Economic Analysis.
  • Short end rallied/yield curves bull steepened (well off initial highs: 2s10s currently at -20.894 vs. -14.369) as expectations over another 75bp hike in Sep cool - 50bp looking more likely at the moment but remain data dependent.
  • Technicals for TYU2: Treasuries have traded higher and cleared resistance at 120-16+, the Jul 6 high and bull trigger. The outlook is bullish and the break higher has confirmed a resumption of the current bull cycle.
  • The contract has also established a bullish price sequence of higher highs and higher lows. This opens 121-10 next, a Fibonacci retracement. On the downside, the 50-day EMA, at 118-23+, is a firm support. Key support is at 117-14+, the Jul 21 low.
  • Equities like the concept of less aggressive forward guidance from the Fed, but pull-backs this morning associated with weak earnings by a handful of stocks: Overstock (OSTK) miss: $0.17 vs. $0.277 est, Stanley Black-Decker (SWK) miss: $1.77 vs. $2.126 est, T Rowe Price (TROW) $1.79 vs. $2.145 est. Sources cite moves in DAX (+115.73 at 13282.11) and carry-over rally in Microsoft for current rally in SPX emini futures (ESU2 +29.50 at 4054.0)
  • Cross assets: Spot gold extends gains +20.06 at 1754.25, crude off highs: WTI +0.84 at 98.10.
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.