MNI: PBOC Net Injects CNY28.8 Bln via OMO Thursday

MNI: PBOC Sets Yuan Parity Higher At 7.1854 Thurs; -1.13% Y/Y

MNI BRIEF: Ontario To Cut U.S. Energy Flows When Tariffs Hit

MNI: BRAZIL'S COPOM RAISES SELIC RATE BY 100BPS TO 12.25%

MNI BRIEF: US Budget Deficit $367B In Nov; FYTD Record $624B

MNI China Daily Summary: Wednesday, December 11

MNI:AUSTRALIA NOV UNEMPLOYMENT RATE +3.9%

MNI: US NOV TREASURY BUDGET -$366.8B

EZ/UK Bond Supply Calendar: BTP Auction on Thursday

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

Omicron? There's a Vacc For That

US TSYS
Early whipsaw action Wednesday -- Tsys and Bunds reversed late overnight bid (tied to reports suggested that the UK Govt will announce stricter Covid restrictions in face of Omicron variant) promptly sold off on headlines that a third dose Pfizer, Biontech vaccine "neutralized" Omicron variant in lab tests.
  • Not quite the risk-on move some had hoped for: equities sat this one out, trading only modestly higher late in the day (EDZ1 +10.5 at 4695.5), Gold gained 2.0 and WTI crude held around 72.40.
  • Early trade, trading desks reported domestic real$ buying 2-3s, leveraged accts buying 5s after chunky 5Y futures block sales (-16.9k) and sell-stops triggered on first and second downdrafts.
  • Yield curves bear steepened/bonds extending session lows after huge JOLTS openings rate of 11.033M -- near record high, quits rate 2.8%. Equities holding near steady (ESZ1 4685.0 last). Trading desks report domestic and foreign real$ selling 10s and 30s. Central bank bought 2s, contributing to bear steepener.
  • Tsy had firmed off session lows in lead-up to the Tsy auction, drew modest two-way after $36B 10Y note re-open (91282CDJ7) tailed slightly:1.518% high yield vs. 1.515% WI; 2.43x bid-to-cover better than last month's 2.35x but still shy a 2.51x 5-month average.
  • The 2-Yr yield is down 1.6bps at 0.6735%, 5-Yr is down 0.2bps at 1.2532%, 10-Yr is up 2.9bps at 1.5024%, and 30-Yr is up 6.9bps at 1.8716%.
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.