MNI EM China Daily Summary: Tuesday, April 16

MNI BRIEF: Industrial, Service Rebound Buoys China's Q1 GDP

MNI: PBOC Conducts CNY2 Bln Via OMO Tues; Liquidity Unchanged

CHINA PBOC INJECTS CNY2 BILLION VIA 7-DAY REVERSE REPOS TUES

MNI: PBOC Sets Yuan Parity Higher At 7.1028 Tues; -5.06% Y/Y

CHINA SETS YUAN CENTRAL PARITY AT 7.1028 TUES VS 7.0979

MNI: GERMANY APR ZEW CURRENT CONDITIONS -79.2

MNI: GERMANY ZEW APR ECONOMIC EXPECTATIONS 42.9

GBPUSD possible reversal if STIR markets see more rate cut expectations

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

Stimulus Deal Unlikely Before Election

US TSYS SUMMARY

In spite of the early risk-off tone, Wednesday's trade was much more subdued than the prior session (TYZ only 680k by the close), Tsys were mostly firmer but off midday lows as equities see-sawed off lows (ESZ0 -14.0).

  • Covid-19 and stimulus related headlines remained key drivers, though nothing really new: comments from Tsy Sec Mnuchin re: difficulty in reaching stimulus agreement before election while gulf between parties remains. Worrying European developments: French PM Macron imposes curfew for major French cities (GRENOBLE, LILLE, LYON, MARSEILLE, TOULOUSE), not a full lock-down to stem spread of virus for next 4 weeks.
  • Myriad Fed speakers on day, Fed VC Clarida humming familiar tune: "additional support from monetary, and likely fiscal policy will be needed" to support recovery. Dal Fed Kaplan: 2% infl not a ceiling, "overshoot" is around 2.25%.
  • Decent US$ denominated supra-sov issuance on day w/$6B total China 4pt making up half day's supply.
  • The 2-Yr yield is unchanged at 0.139%, 5-Yr is down 0.3bps at 0.3008%, 10-Yr is down 0.7bps at 0.7206%, and 30-Yr is down 0.9bps at 1.5021%.
BulletMarketsFixed Income Bullets
BulletMarketsFixed Income Bullets

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.