© 1982-2022 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial
BOJ

Fixed Rate Operation Offer

AUSSIE BONDS

ACGB Apr-27 Supply Goes Well

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
Trending Top 5
Topics

Risk-On Sentiment Dominates

CANADA
BulletMarketsFixed IncomeForeign Exchange
  • FI: GoCs bear steepen but have increasingly lagged the rise in Tsy yields. It’s seen a further trimming in Can-US yield differentials but they remain at a healthy +6bps (2Y) and +3bps (10Y) having only recently turned positive.
  • Higher yields have tightened domestic financial conditions materially but lenders hadn’t started to make additional tightening of lending conditions in the BoC’s Q1 Senior Loan Office survey, something that could help slow the pace of house price growth.
  • FX: Broader risk-on sentiment dominates FX moves today, with CAD, AUD and NOK all moving in unison as oil also firms.
  • USDCAD sits -0.9% at 1.2934 which could see it test support at 1.2914 (May 2 high) on a continuation of risk-on sentiment, but equally technicals suggest a bullish outlook for the pair which could be resumed if risk sentiment sours following the weekend.
139 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.
  • FI: GoCs bear steepen but have increasingly lagged the rise in Tsy yields. It’s seen a further trimming in Can-US yield differentials but they remain at a healthy +6bps (2Y) and +3bps (10Y) having only recently turned positive.
  • Higher yields have tightened domestic financial conditions materially but lenders hadn’t started to make additional tightening of lending conditions in the BoC’s Q1 Senior Loan Office survey, something that could help slow the pace of house price growth.
  • FX: Broader risk-on sentiment dominates FX moves today, with CAD, AUD and NOK all moving in unison as oil also firms.
  • USDCAD sits -0.9% at 1.2934 which could see it test support at 1.2914 (May 2 high) on a continuation of risk-on sentiment, but equally technicals suggest a bullish outlook for the pair which could be resumed if risk sentiment sours following the weekend.