Free Trial

Rates Softer as Stocks Extend All-Time Highs

US TSYS
Rates marginally lower for the most part, 2s little firmer following Mon's auction induced weakness. Inside Monday's range, current levels at/near overnight lows on very light volumes, TYH2 just over 60k at the moment.
  • Contributing factor: London still out for Christmas holiday which means no new LIBOR settles until tomorrow.
  • Stocks: New all-time highs overnight with ESH2 reaching 4797.25 (+15.0) 4792.75 last; Gold +5.5 at 1817.63; West Texas crude extending Mon's gains, currently +1.21 at 76.78. Bitcoin weaker, around 49,265.0 after failing to breach 52k late Mon.
  • Limited data on tap: FHFA House Price Index MoM at 0900ET (0.9% est), Richmond Fed Mfg Index at 1000ET (11 est).
  • US Tsy supply: $34B 52W bill auction (912796R27) and $57B 5Y Notes (91282CDQ1).
  • QE: NY Fed buy-operations pause for holidays, resume January 3.
  • Headline watching:
  • WORLD HITS RECORD DAILY COVID CASES AS OMICRON MARS CHRISTMAS, Bbg
  • China Vows Proactive Moves to Stabilize Economy in 2022, Bbg

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.