DALY SEES 'NO URGENCY TO ADJUST THE POLICY RATE'

MNI BRIEF: Fed’s Collins Sees Rate Cuts Later Than Had Thought

MNI BRIEF: China March M2 Slows More Than Expected

MNI BRIEF: China Tightens Stock Market Supervision

MNI BRIEF: China Mar Exports Jump On Demand; Imports Improve

MNI: PBOC Sets Yuan Parity Lower At 7.0967 Fri; -4.87% Y/Y

MNI: BAKER HUGHES US RIG COUNT 617; OIL RIGS 506; GAS RIGS 109

March Home Sales Jumped At End Of Month

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

MNI: Growth Drag From Net Zero Carbon Goal Can Be Offset-OECD

MNI BRIEF: Lawmakers Signal Tough Hearing For BOC's Macklem

© 1982-2023 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Curve Flatter With Eye On 5Y Supply And Fiscal Developments

US TSYS

The short-end/belly of the curve is underperforming early Wednesday, with a generally risk-off atmosphere prevailing. Fiscal matters and 5Y supply are in focus, with an eye also on durable goods data.

  • 10Y yields below 1.60% for the first time since Oct 19: 2-Yr yield is up 2.2bps at 0.491%, 5-Yr is up 0.7bps at 1.1813%, 10-Yr is down 1.2bps at 1.5957%, and 30-Yr is down 1.8bps at 2.0231%.
  • The release at 0500ET of the Democrats' proposal to tax billionaires' (unrealized) asset gains pushed stock futures to session lows and Tsys to session highs.
  • That said, negotiations continue on the fiscal agenda, with little sign a deal among Democrats will materialize this week, let alone today. Politico sums up the state of play: "except for every sticking point, Dems are close to a deal".
  • Supply today: $28B 2Y FRN auction at 1130ET (alongside $40B in 119-day bills), and $61B 5Y Note auction at 1300ET.
  • Data today includes durable goods orders / wholesale and retail inventories / goods trade balance at 0830ET.
  • NY Fed buys $1.425B of 10-22.5Y Tsys.
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.